#SaxoStrats: Time to close the upside inflation trade

The massive sellout in European bonds offers an opportunity to close the upside inflation trade that Saxo Bank’s Simon Fasdal had his eyes on three weeks ago. Head of Fixed Income Trading Simon Fasdal spotted an upside inflation trade on April 24, arguing that markets would start paying attention to the price of inflation once there were signs that the European economy was improving. Recent forecasts for European growth combined with fund managers rebalancing their portfolios as well as market actio