Global Interest Rates: Is This An Inflationary Picture?

Below we update charts of long-term global interest rates versus their normal trading ranges.  While the Fed and major global central banks still talk about excessive levels of inflation, the bond markets of these regions are telling a very different story.  In each of these regions, long term interest rates are at the lower end of their typical trading range implying that bond investors are not too concerned about inflation.

 

Comments

[Greg Feirman]

It seems bond investors believe government reports on inflation. But market measures such as the dollar and the price of gold suggest something different.

Hard to understand why worldwide bond yields are so low when governments continue to create money at such high levels.