A pedestrian walks past a store in San Francisco, California, on June 3. The US economy is recovering from the pandemic, and with bond yields low and inflation rising fast, fixed-income investors are taking a major hit. Photo: Getty Images/TNS A pedestrian walks past a store in San Francisco, California, on June 3. The US economy is recovering from the pandemic, and with bond yields low and inflation rising fast, fixed-income investors are taking a major hit. Photo: Getty Images/TNS
A pedestrian walks past a store in San Francisco, California, on June 3. The US economy is recovering from the pandemic, and with bond yields low and inflation rising fast, fixed-income investors are taking a major hit. Photo: Getty Images/TNS
David Brown
Opinion

Opinion

Macroscope by David Brown

Pandemic worry is propping up the global bond rally, but not for long

  • Bond market bulls who have seen yields in retreat for the past 40 years should brace for a new phase, following the global growth recovery, inflation surge and imminent end to easy money
  • Whatever the trigger, in the longer term, the weight of money will move out of defensive bond play into higher-return, higher-risk-seeking equity gambits

A pedestrian walks past a store in San Francisco, California, on June 3. The US economy is recovering from the pandemic, and with bond yields low and inflation rising fast, fixed-income investors are taking a major hit. Photo: Getty Images/TNS A pedestrian walks past a store in San Francisco, California, on June 3. The US economy is recovering from the pandemic, and with bond yields low and inflation rising fast, fixed-income investors are taking a major hit. Photo: Getty Images/TNS
A pedestrian walks past a store in San Francisco, California, on June 3. The US economy is recovering from the pandemic, and with bond yields low and inflation rising fast, fixed-income investors are taking a major hit. Photo: Getty Images/TNS
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David Brown

David Brown

David Brown is the chief executive of New View Economics. Over a career spanning four decades in London, David held roles as chief economist in a number of international investment banks.