Long-term borrowing costs across major economies rose sharply on Tuesday, with bond yields in the United States, Japan and Germany reaching multi-year or multi-decade highs as renewed inflation concerns compounded worries over government finances.
According to Reuters, the latest selloff reflected rising oil prices, expectations of tighter monetary policy in Japan and persistent concerns about fiscal deficits across major economies. Higher sovereign yields also threaten to increase borrowing costs for companies and households.
