Business · Economy · 4 hrs ago

Bond Selloff Could Reduce Need for Central Bank Rate Hikes

Bond markets are pushing borrowing costs higher around the world.

That may reduce how much central banks need to raise their benchmark interest rates.

Central banks use those rates to influence borrowing costs across the economy.

Higher borrowing costs can help slow spending and ease inflation.

The aim is to bring inflation under control with fewer rate hikes than might otherwise be needed.

The story does not specify which central banks may change their plans or when.

Sources

Bloomberg · 4 hrs ago