Global Bond Selloff: Key Drivers and Yield Outlook

Bonds are selling off worldwide as yields continue to climb. The main forces behind the selloff and market expectations for how high yields could go are reviewed.

■ Drivers of the selloff
- Strong US and global growth keeps inflation risks elevated
- Rising oil prices, including Brent at $126, add to inflation
- Central banks, including the Fed, Australia, and Japan, are tightening or maintaining high rates

■ Yield outlook
- T. Rowe Price investors see 10-year Treasury yields at 6%
- TS Lombard strategists project yields could reach 8% in coming years
- A Bloomberg Markets Pulse poll shows over half of 173 participants expect 30-year US yields at 6% by year-end

Viewers interested in fixed income, macro drivers, and rate expectations will gain a concise overview of why bonds may remain under pressure while inflation risks persist.