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Markets brace for large shift from stocks to bonds in fund shake-up

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Financial Times/Joshua Oliver/3-24-2021

graphic image of 'off-on' switch“Billions of dollars are set to flow from stocks to bonds around the end of March as big investors move money to rebalance their portfolios, analysts say.”

USAGOLD note:  The big investors are mostly international funds of different kinds rebalancing their portfolios as an end-of-quarter necessity. Large sums of money will be redeployed with a flip of the switch. These capital flows could have an indirect, positive influence on the gold price if Treasury yields drop as a result. An analyst from JP Morgan is quoted as saying “it could be happening as we speak.”

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