binglo| TD Bank recommends tactical buying of US bonds against German bonds, saying the ECB may disappoint the market

Gelonghui April 24| TD Bank of Toronto recommends tactically buying 10-year U.S. Treasuries versus German government bonds of the same maturity because the bank expects the Federal Reserve to reduce interest rates to 3% by the end of 2026, and the European Central Bank may disappoint the market by not committing to continuous interest rate cuts.“bingloWe acknowledge that some weaker inflation data is needed "to bring the market closer to TD Bank of Toronto's expectations for the Fed's interest rate. Pooja Kumra, the bank's head of European interest rate strategy, wrote in a client note that the bank expects the European Central Bank to cut interest rates for the first time in June and the Federal Reserve to cut interest rates starting in September.