Goldman Sachs is bullish on steepening European bond yield positions

Jinshi data, March 6th, Guosen Asset Management analyst Danguer said that due to the lack of a clear directional tendency, Guosen’s confidence in the Intrerest Rate of European short-term bonds is low, and it prefers the steepening of the yield curve, because Germany’s fiscal expansion funding will bring additional bond issuance. The analyst also pointed out that the preference for steepening positions, that is, betting on the widening of the spread between short-term and long-term yields, also stems from the potential for higher term premiums. The rise in term premiums will be driven by improvements in mid-term rise and inflation prospects.