Bond markets from US to Japan whacked as inflation and fiscal worries take hold

Live updates

1. 28d ago

   Global bond markets plummet as inflation and fiscal worries intensify

   Bond yields have surged to multi-decade highs globally, driven by inflation and fiscal concerns. The 30-year Treasury yield reached 5.33%, a 19-year high. Selling has gripped bond markets from the US to Japan, with investors demanding higher returns to lend amid mounting US debt and fading US-Iran peace hopes.

   Why it matters

   This global bond rout has significant implications for borrowing costs and economic growth. Rising yields can increase the cost of borrowing for governments and businesses, potentially slowing down economic activity. The trend is driven by concerns over inflation and fiscal sustainability.

   What is confirmed

   • The 30-year Treasury yield reached 5.33%, a 19-year high on inflation and spending concerns.
   • Global bond markets are experiencing a significant sell-off, driven by inflation and fiscal worries.
   • Investors are demanding higher returns to lend amid mounting US debt.

   Still unconfirmed

   • US-Iran peace hopes have faded

   What to watch next

   • US inflation data releases
   • Federal Reserve policy decisions
   • US government borrowing announcements
   Sources used for this update (7)

   1. Bloomberg.com — Global Bond Rout Sends Long-Term Borrowing Costs to Highest in Decades
   2. Reuters — Selling grips bond markets from US to Japan as inflation, fiscal worries take hold
   3. The Guardian — Governments’ borrowing costs hit further multi-decade highs as US-Iran peace hopes fade
   4. CNBC — 30-year Treasury yield tops 5.33%, new 19-year high on inflation, spending concerns
   5. The New York Times — Bond Yields Jump and Stocks Slip as Iran Stalemate Unsettles Investors
   6. CNN — Global bond markets are getting hammered. Here’s what’s driving the sell-off
   7. Reuters — As US debt mounts, investors demand higher returns to lend
   confidence 85%