Bond markets across the world have seen some $1trn (£800bn) wiped off their market value last week, as investors expect a boost to inflation following the election of Donald Trump as US President.
Last Thursday saw the capitalisaton of the global bond market index slide by $450bn, marking a fourth day of falls and bringing the total for the week to more than $1trn for the second time in two decades, according to data from the Bank of America Merrill Lynch. The firm's Global Broad Market index, which tracks 24,000 bonds globally, saw its market value fall by some $1.14trn to $48.1trn. The only time the index had seen such a significant weekly fall in previous years was June 2013, when a bond sell-off known as the 'taper tantrum' followed the Federal Reserve's threats to reduce i...
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