[Bloomberg: Structural Shift in Global Bond Market as Long-Term Yields Reach Decades-High Levels] BlockBeats News, September 26, Bloomberg columnist John Authers stated that the 'tectonic plates' of the global economy are shifting, with long-term government bond yields in major economies rising to their highest levels in decades. Japan's 10-year government bond yield has hit a 30-year high, while government borrowing costs in major markets like the U.S. have also climbed to levels not seen since before the global financial crisis. However, the current rise in bond yields has yet to significantly impact the stock market or the real economy, as the Nasdaq 100 Index reached a new all-time high this week. The article suggests that the sharp fluctuations in the bond market are more likely driven by recent economic data consistently exceeding expectations, as well as Federal Reserve Chair Powell adopting a more hawkish policy stance than the market had previously anticipated. The market now expects the U.S. overnight rate to reach 4.75% in a year, whereas prior to the outbreak of the Iran war, it was expected to drop to 3%. Authers pointed out that if the yield on the 10-year U.S. Treasury remains around 5%, the higher risk-free return rate will increase the attractiveness of bonds compared to stocks and benefit pension funds and other long-term capital management. However, if yields continue to rise rapidly, it could exacerbate fiscal pressures and pose risks to non-bank financial institutions and highly leveraged companies. [Original Link]