🚨 Global bond yields are surging as investors brace for higher rates.
The US 30 year Treasury yield hit 5.321%, its highest since mid 2007. French borrowing costs reached levels last seen in 2008, German yields neared 2011 highs, UK yields approached 6%, while Japanese long term yields moved close to record highs.
The rise reflects fears over persistent inflation, rising government debt, higher spending, geopolitical fragmentation and weaker demand for sovereign bonds.
The debt fuelled AI boom is adding another layer of concern as governments and markets face higher funding needs.
AXA IM CIO Chris Iggo said a major deterioration in economic data or an external shock may be needed to materially improve the outlook for long duration bonds.
The US 30 year Treasury yield hit 5.321%, its highest since mid 2007. French borrowing costs reached levels last seen in 2008, German yields neared 2011 highs, UK yields approached 6%, while Japanese long term yields moved close to record highs.
The rise reflects fears over persistent inflation, rising government debt, higher spending, geopolitical fragmentation and weaker demand for sovereign bonds.
The debt fuelled AI boom is adding another layer of concern as governments and markets face higher funding needs.
AXA IM CIO Chris Iggo said a major deterioration in economic data or an external shock may be needed to materially improve the outlook for long duration bonds.