Pimco Expects Elevated Term Premium, Says Bonds Are Attractive

PIMCO says the extra yield investors demand for long-dated government bonds will likely stay elevated unless an unexpected downturn emerges. The firm frames this as an opportunity to buy duration at higher yields, implying modestly supportive conditions for long-term bond investors.

Analysis

PIMCO says the extra yield investors demand for long-dated government bonds will likely stay elevated unless an unexpected downturn emerges. The firm frames this as an opportunity to buy duration at higher yields, implying modestly supportive conditions for long-term bond investors.