BREAKING NEWS 🚨 Global long bond yields just punched through their highest level since the 2008 crisis

4.2%

That's where the Bloomberg Global Long Bond Index yield is sitting right now - the highest reading since July 2008.

Translation: the cost of long-duration sovereign debt is back at GFC levels, only this time the world has $100T+ more leverage on top of it. 🏦

What's driving it 👇

• Fiscal deficits widening across G7 economies 📉

• Sticky services inflation refusing to roll over

• Term premium re-pricing as buyers demand more compensation for duration

• Energy prices elevated and stuck

When the entire long end of the global yield curve breaks out, every risk asset eventually has to repriced against a new discount rate. ⚠️

I've been covering exactly this setup.

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#macro#bonds#yieldcurve#liquidity