European Real Money Investors Holding On To Euro Area Bonds

Single currency European investors haven’t pulled out of euro area bonds, but they have reduced their exposure to the EU periphery

As the standoff between Greece and its creditors continues, real money European investors have held on to their Euro area bonds over the last two weeks, maybe caring more about the announcement of QE than Syriza’s electoral win, but European multi-currency investors, US multi-currency investors and UK single-currency investors all reduced their net long exposure in recent weeks, according to J.P. Morgan’s latest European Client Survey.

Tactical pullback in exposure to eurozone periphery

That doesn’t mean the situation in Greece hasn’t had any impact on...