Indosuez Favors Short End of Bond Curve in Sovereign Debt -- Market Talk

Dow Jones12-11

1425 GMT - Indosuez Wealth Management is maintaining moderate exposure to sovereign debt, favoring the short end of the yield curve, it says in an outlook for 2026. The short end of the curve is less vulnerable to fiscal trajectories in developed markets, it says as the rationale behind its preference. "In the current complex pricing environment and given the threats to the independence of the Federal Reserve, we believe that flexibility in positioning will be essential in order to take advantage of periods of volatility that are likely to emerge in government bond markets," it says. (emese.bartha@wsj.com)

 

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December 11, 2025 09:25 ET (14:25 GMT)

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