Government bond markets in major economies such as the United States, Japan and Europe have benefited in the past two months from a view that economic growth is slowing and central banks will have to pause any plans for interest rate hikes.
BlackRock's Richard Turnill told clients in a weekly note he believed equities could post positive returns this year but added: "We also see a growing role for bonds as portfolio diversifiers as the maturing cycle brings the potential for more frequent risk-off episodes."
(Reporting by Dhara Ranasinghe; Editing by Sujata Rao)
