134 days ago • Posted by Martin Boujol

Keeping a lid on US bond yields?

US yields are generally still lower than before the Covid, but FX-hedged returns are now at their highest in years for foreign buyers. A German investor, for example, will get a 10-year bond yield of -0.3% at home, but 1.0% if they buy it in the US and hedge it in euros. This could make a crowd of foreign investors entering US bond yields and keeping these in check. 

Source: MacroMarketsDaily

Keeping a lid on US bond yields?