FT.com: Global interest rates

The world is not yet exchanging wallets for wheelbarrows but there is a concern that inflation might be back. Since February’s wobble, yield curves in the big economies have shifted up by 50 basis points or so. Yields on 10-year bonds are heading to their highest levels since the end of the last tightening cycle in 2002 This yield shift is sharp but the fact is that consumer price inflation is below target in the eurozone (1.9 per cent year on year) and Japan (zero). Where it is above target, such as in the US (2.6 per cent) and UK (2.8 per cent), it is forecast to fall and there is no sign yet of a rapid rise in wages.