NEW YORK, March 14 Investors scaled back their
bullish bets on longer-dated U.S. Treasuries ahead of the
Federal Reserve's two-day policy meeting where policymakers are
widely expected to raise interest rates, J.P. Morgan said on
The share of "long" investors, who said they were holding
more longer-dated Treasuries than their benchmarks, fell to 18
percent in the week to March 13 from 20 percent in the prior
week, J.P. Morgan showed in its latest Treasury client survey.
J.P. Morgan surveyed clients that include bond fund
managers, central banks and sovereign wealth funds.
The share of "short" investors who said they were holding
less longer-dated U.S. government debt than their portfolio
benchmarks rose to 23 percent from 18 percent the previous week.
Short investors outnumbered long investors, or net shorts,
again after long investors outnumbered short investors last week
for the first time since Oct. 24, 2016.
There were 5 percentage points of net shorts, compared with
net longs of 2 percentage points in the prior week.
The share of "neutral" investors, who said on Monday they
were holding amounts of longer-dated Treasuries that match their
benchmarks, was 59 percent, down from 62 percent the preceding
week, the survey showed.
Active clients that include market makers and hedge funds,
which are seen to take on speculative bets in Treasuries, dialed
back their bullish bets, the latest J.P. Morgan survey showed.
Thirty percent of them said they were long, while 20 percent
of them said they were short. The margin of active longs shrank
to 10 percent points from last week's 40 percentage points,
which was the widest since June 13, 2016.
(Reporting by Richard Leong; Editing by Will Dunham)