Bob Elliott
· Nonconsensus
· March 30, 2026 at 10:30
· ⏱ 3 min read
| Read on Substack ↗
Summary
The author discusses how a recent oil shock has pushed global bond yields to 15-year highs, creating an additional layer of economic tightening on top of the direct hit to real spending power. The piece suggests that future economic weakness may make it difficult to sustain these elevated yield levels.
•Global yields have risen to 15-year highs in many economies due to an oil shock.
•This rise in yields acts as a further economic tightening mechanism.
•The oil shock also directly erodes the real spending power of households and businesses.
•The author suggests that forthcoming economic weakness might make the current high yield levels difficult to justify.