Global Bond yields resumed their dangerous climb back into record territory, largely brushing off the US Treasuries new plan, to cap long-dated bond yields. Treasury plans to double buy-backs of long-dated debt, but this does not address the problem. The increasing volume of debt and the lack of demand for that debt. This is global and was triggered by the US intervention into the Japanese bond market, hoping to prevent the Japanese from liquidating (Japan is the largest holder of US debt), which is unwinding the Yen carry trade. The US Dollar remains weak, with the EUR trading 1.1670, while the GBP trades above 1.3600.The soft reserve allows commodity currencies to remain bid, with the NZD consolidating above 0.5900, while the AUD trades around 0.7100. Australian Headline Unemployment jumped to 4.5%, reflecting the difficulties, in the Australian economy. Oil prices surged to over US$88/barrel, while the advancing energy crisis, is directly translating into an inflation crisis.
