FT: Bond funds outflow

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Jan Loeys, chief global strategist at JPMorgan, said there had been slackening bond demand from several sources amid signs of stronger economic growth and rising interest rate expectations.

“Bond mutual funds have had three consecutive weeks of outflows, while Japanese investors and US banks have also been selling,” said Mr Loeys.

“We look for easy monetary policy, especially the Fed’s bond buying, to support bonds near term but expect higher yields further out.”