REUTERS SUMMIT-Prudential's Peters says U.S. bond selloff overdone
(For other news from the Reuters Global Investment Outlook Summit, click here)
NEW YORK Nov 15 (Reuters) - Gregory Peters, senior investment officer at Prudential Fixed Income, on Tuesday said the steep selloff in U.S. bonds following last week's surprise election of Donald Trump to the White House and the Republican sweep of Congress was overdone.
Speaking at the Reuters Global Investment Outlook Summit, Peters, who helps oversee $681 billion of assets, said the 10-year U.S. Treasury note was likely to trade in a range of 1.80 percent to 2.30 percent in the near term. The note yielded about 2.21 percent on Tuesday morning.
Peters also said economic stimulus that may result from the elections could extend the current credit cycle and that he was buying high-yield and investment-grade corporate bonds.
The election also sparked a slide in the Mexican peso and increase in the perceived risk of investing in Mexico on concerns about Trump's policies toward that country.
Peters said: "We're definitely poking around" Mexico at the margins, trying to decide how best to take advantage of cheaper valuations.
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(For more summit stories, see ) (Reporting by Jonathan Stempel and Jennifer Ablan in New York; Editing by Lisa Von Ahn)
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