Bonds in strongest bear market in history

Leverage loans. The next trigger?

Morgan Stanley analysts explain that we are in a “Bear market for bonds: The US 10-year bond touched 4.99% on Thursday, the highest level since 2007, and the curve now has the steepest slope since 2013. Bonds have experienced the strongest bear market in history, while equity returns on bonds are at record highs.”

According to Intermoney analysts, the market has experienced in the third quarter “The biggest drop in bonds in 25 years, with their worst quarterly performance since 1998: a 3% fall in Q3. Global government bonds, for example, lost 4.6% during that period”.

About the Author

The Corner
The Corner has a team of on-the-ground reporters in capital cities ranging from New York to Beijing. Their stories are edited by the teams at the Spanish magazine Consejeros (for members of companies’ boards of directors) and at the stock market news site Consenso Del Mercado (market consensus). They have worked in economics and communication for over 25 years.