Global Markets Face A Witches’ Brew Of New Risks As Japan’s Monetary Adventure Wobbles, China Slows Further And The Us Fed Prepares To Shut The Spigot Of Dollar Liquidity
May 28th, 2013
Veteran fears ‘beginning of the end’ for Japan as bond market buckles
Yields on 10-year Japanese bonds (JGBs) have doubled in a month and spiked dramatically to 1pc on Thursday, triggering a 7.3pc crash in the Nikkei stock index. It was the biggest one-day fall since the tsunami two years ago, comparable with wild moves seen at the height of the Asian crisis in 1998.