Are bond investors crying wolf?
There has been quite a dramatic increase in interest rates in most markets and in Germany in particular. We are looking into whether this is the beginning of something much bigger. For those of you with too little time on your hands here is the conclusion: This is NOT the beginning of something much bigger. Economic growth will stay low for many years to come, and central banks have no intentions of suddenly flooding the bond market with sell orders.Open this issue (PDF)