As interest rates potentially peak, investment advisors say there are now opportunities for hefty gains through certain government bonds. This was during the Covid-19 pandemic when the Bank of England had just cut rates to 0.1%. "You potentially could make a good capital appreciation when interest rates start to fall," Amis added. Amis expects the Bank of England to cut interest rates by 0.25 percentage points in August 2024. Meanwhile, interest rate traders in the U.S. expect the Federal Reserve to implement its first rate cut in July 2024.

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Persons: Matthew Amis, Amis, Abrdn, Iain Stealey, Stealey Organizations: Bank of England, U.S, Treasury, Bank of, JPMorgan Asset Management, Federal Reserve Locations: U.K, U.S