HALISTER1: JPMorgan Increases Mid-Year 2016 TIPS Breakeven Forecasts

JPMorgan Increases Mid-Year 2016 TIPS Breakeven Forecasts

(Bloomberg) -- 5Y breakeven forecast is 165bp (was 140bp), 10Y breakeven 175bp (was 165bp), 30Y breakeven 190bp (was 185bp), JPMorgan strategist Kimberly Harano says in March 18 note recommending 5Y breakeven wideners.
  • Changes reflect downward revision to JPM’s U.S. corporate spread forecast for end-2016 (to 180bp from 225bp)
  • Last week’s Feb. CPI and FOMC meeting “were very supportive,” and while reception for 10Y TIPS reopening “was somewhat disappointing,” retail demand for TIPS as measured by 12-wk moving avg of flows into TIPS ETFs “remains elevated”
Alert: HALISTER1
Source: BFW (Bloomberg First Word)

People
Kimberly Harano (Bear Stearns & Co Inc)

To de-activate this alert, click here

UUID: 7947283