Selloff Deepens in Global Bond Market

The sharp rise in oil prices and expectations that central banks will resume interest rate hikes have increased selling pressure in global bond markets. These developments have caused bond yields to climb to critical levels in many countries. In the US, the 10-year Treasury yield rose to 5.04%, reaching its highest level since 2007. In Germany, the 10-year bond yield climbed to 3.57%, the highest since 2009. In Japan, the 10-year bond yield tested a 30-year peak. This rapid increase in bond yields reflects investors' concerns about inflation and monetary policy. The jump in oil prices has brought inflation pressures back to the fore, while signaling that central banks may continue their tightening steps. This turbulence in the global bond market could also spill over into equity and currency markets, reducing risk appetite. Investors will closely monitor central bank statements and economic data in the coming period. Not investment advice.