Sovereign bond yields have risen sharply in recent days — not only in the United States, but also in Japan, the United Kingdom and the Eurozone. This is something SriKonomics has repeatedly warned about in past issues. The selloff is all the more striking because it is taking place against a backdrop of slowing global economic growth. And this may be the beginning, rather than the end, of investors exiting government bonds in a hurry. Normally, weaker growth would be expected to lower long-term interest rates. This time, however, investors are focused on a different set of risks: persistent inflation, expanding ... (full story)