Deutsche Bank strategists maintained a short-duration stance on U.S. Treasuries,
saying rising free floats of government bonds across the U.S., U.K., euro area
and Japan should lift long-term term premium. They forecast the U.S. 10-year
yield at 4.80% and the 2-year at 4.30% by year-end, implying a modest steepening
of the Treasury curve versus current spot and forward levels.
