Japan Dumping Treasuries Puts Spotlight on Euro-Area Debt
- Rising supply, hedging costs dim U.S. allure for Asian buyers
- Booming economy, outperforming debt enhance Europe’s appeal
Investec's Stopford Doesn't See Bear Market in Bonds Yet
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Sovereign issuers that are selling bonds in euros at a record pace could well be finding some of the world’s most prolific buyers ready to pounce.
Investors in Japan and China are shunning U.S. Treasuries, and the conditions are ripe for that cash to find a home in Europe. Early signs of a shift may already be visible: Belgium sold 16 percent of a new deal to Asia this week, compared to just 1 percent a year ago.