Decoding the bond sell-off

Global bond yields have been rising sharply, with long-term yields breaking higher across multiple markets - pushing US 30‑year yields above 5%.​

The sell-off was initially triggered by energy-linked inflation resulting from the Iran war, but increasingly reflects a broader, cross‑market re-pricing, with fiscal pressures, shifting rate expectations and signs of bear‑flattening emerging in key markets.​

In this episode of the Barclays Brief, Lucile Flight, Managing Director in Rates Trading, joins Patrick Coffey to examine what’s driving the move in different regions – from political uncertainty shaping UK gilts to changing views on neutral rates in the US and a dialled-back ECB response in Europe. ​

They discuss what could bring yields down again and where investors are seeing the most compelling opportunities across global rates.​

Listeners can hear more on this topic:​​​

• Inflation crosscurrents: Energy vs AI ​
• European rates: Inflation & AI waves collide ​

Clients can read more on Barclays Live:​​

• Thinking Macro: No saving grace ​
• Federal Reserve Commentary: What would trigger a 2026 Fed hike?
• United Kingdom Outlook: What a week...
• Global Economics Weekly: Leaders meet and bonds shriek