08 Sep The super cycle bear market in bonds and the return of “bond vigilantes”
Key Points:
- Bond yields are being pushed higher by concerns about inflation, high public debt, rising corporate borrowing, rising Japanese bond yields and increasing economic uncertainty.
- This is part of a super cycle rise in bond yields that started in 2020, partly reversing the super cycle from the 1980s.
- The rising trend in bond yields could dampen other asset classes as it leads to a higher yield structure in the economy. This includes residential property.
