Bond investors stick to neutral stance ahead of Fed meeting

News Snapshot:

Bond investors have taken a neutral stance in the run-up to the Federal Reserve’s two-day monetary policy meeting this week, reflecting continued caution over U.S. trade policy that threatens to plunge the world’s largest economy into recession. Fixed-income investors said they are either staying neutral relative to their benchmarks, reducing their long-duration exposure, or preferring to remain on the shorter end of the yield curve. “We are sort of in this uneasy equilibrium between growing economic concerns as we see soft data sour a bit, but also the potential for policy shocks that could impact inflation outlooks and the deficit,”...