LONDON, July 4 (Reuters) - A win for Donald Trump in the

U.S. presidential election in November would herald a spike in

long-term U.S. Treasury yields, said Edmond de Rothschild Asset

Management's Chief Investment Officer Benjamin Melman on

Thursday.

Trump's approach on taxes and immigration would put pressure

on the U.S. labour market and wider economy, Melman told a press

conference on the firm's H2 outlook.

Trump has established a sizable lead over President Joe

Biden in the White House race since the two candidates debated

on June 27.

Ten-year U.S. Treasury yields rose to more than three-week

highs after that debate, near 4.5% in a move some

analysts say reflects growing market expectations for a Trump

win.

"What is true about Donald Trump, his programme, is

significantly inflationary," said Melman.

"Even if the environment is bullish in fixed income...the

long end of the U.S. yield curve is less bullish in our view due

to the U.S. political risk premium."

Trump has pledged to impose tariffs on foreign imports, and

up to at least 60% on Chinese goods coming into the U.S., which

if passed on to U.S. consumers in the form of price hikes would

fuel inflation.

Trump also has plans to launch the largest deportation

effort in U.S. history, focusing on criminals but aiming to send

millions back to their home countries.

"When the odds of Trump being elected got higher suddenly,

the risk pricing from the markets was immediate," Jacques

Aurelien Marcireau, co-head of equities at of Edmond de

Rothschild, told the press conference.

Edmond de Rothschild has recently grown more cautious about

European assets, until the French political landscape becomes

more settled.

Their bond market positions include carry strategies

profiting from rate differentials between asset values and

corporate and financial hybrid debt which bear characteristics

of both stocks and bonds.