Deutsche Bank expects a potential "handshake" deal between UPS (NYSE:UPS) and Teamsters in the near future, according to a note released on Monday. The discussions between the two parties, regarding a potential employee strike represented by Teamsters, have been ongoing for two months.

Deutsche Bank analysts stated that there have been positive developments in recent days, indicating that the negotiations are progressing well. The analysts believe that the two sides are close to reaching an agreement and anticipate a deal soon.

The Teamsters issued a press release on Friday, stating that UPS has committed to reaching a resolution by July 5, further reducing the likelihood of a strike. The analysts emphasized their positive outlook on UPS shares in the near, mid, and long term, highlighting the company's strong execution despite challenges posed by lower volumes.