ING Strategists See Global Yields Rising Amid Inflation Concerns

Market momentum appears to be driving global yields higher, according to ING's rate strategists. According to Jin10, they believe there is currently no reason to reverse this trend. The strategists noted in a report that oil prices are climbing again, and the conflict involving Iran is unlikely to be resolved in the short term. They stated, 'The market is beginning to reassess the view that inflation is merely a short-term phenomenon and is increasingly factoring in more persistent inflation expectations into forecasts.' Recent eurozone inflation data, they added, indicates that price pressures are no longer confined to the energy sector but are spreading to other areas of the economy.