"As such we think three may be a better entry point on government bonds in the next couple of months. Once the decision to go into bonds is taken next key question is maturity and we would stick at the short end of the curve given uncertainty of long-term macro outlook. Then it is a question of how much US government to buy compared to UK government.
"We have to take a view on exchange rates and where inflation will go which is not easy given US inflation is more demand side and domestically generated where as UK is suffering from supply side, global trends and Brexit."
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david.thorpe@ft.com
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