Over the weekend I wrote a post about the global rise in long-term government bond yields. That post identified three factors driving yields higher: (i) the global debt binge during COVID made markets less willing to provide cheap financing to governments, especially with many countries still running wide deficits long after the pandemic has passed; (ii) idiosyncratic trouble spots like France and Japan are making markets more attuned to fiscal risk, which is putting upward pressure on yields elsewhere; and (iii) the universe of safe havens is shrinking, with Germany losing that status this year. In today’s post, I ... (full story)