Jefferies: Inflation and high deficits are reasons to remain cautious on long-term bonds
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The Strait of Hormuz remains closed, continuing to disrupt energy transportation from the Gulf region and keeping oil prices high. "In the coming months, we may see the announcement of multiple fuel subsidy support measures," said the global economist. He stated that higher inflation and deficits support Jefferies’ viewpoint that investors should steer clear of the long end of the yield curve and maintain a preference for a steeper curve. Jefferies' concerns remain focused on the UK, then Europe, followed by the US.
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