The world is in a debt spiral and alarm signals are going off
Global bond yields are rising to levels not seen in decades, signaling potential economic instability as national debt levels balloon. The report highlights that major economies, including the US and Japan, are struggling with high public debt and shifting monetary policies.
Why it matters
Rising bond yields increase borrowing costs for governments and businesses, which could trigger a global financial crisis if debt levels remain unsustainable.
Save You have reached your maximum number of saved items.
Remove items from your saved list to add more.
Share A A A Global bond yields are reaching levels not seen in nearly two decades, creating a threat to economic and financial stability around the world. It’s a threat that has been exacerbated by US policies.
On Tuesday, Japan’s 10-year bond yield touched 3 per cent for the first time this century amid expectations that the Bank of Japan will raise its policy rate this month. US 10-year yields also rose, despite the perceived “hawkishness” of the Federal Reserve Board chair Kevin Warsh at the weekend’s annual meeting of central bankers and economists at Jackson Hole in Wyoming.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in