Citi’s preliminary estimate of month-end FX hedge rebalancing flows sends “a stronger than average USD sell-signal.” They also note that “for investors who target proportional asset allocated portfolios, the model estimates rebalancing outflows from global equities and inflows into global bonds, with inflows into Canadian and Asian bonds being the strongest.”

CROSS ASSET: Citi Month-End Model Points To USD Selling, Outflows From Equities Into Bonds

Last updated at:Nov-27 07:05By: Anthony Barton

Citi’s preliminary estimate of month-end FX hedge rebalancing flows sends “a stronger than average USD sell-signal.” They also note that “for investors who target proportional asset allocated portfolios, the model estimates rebalancing outflows from global equities and inflows into global bonds, with inflows into Canadian and Asian bonds being the strongest.”