Interest rates higher for longer?

Pressure across global bond markets is intensifying, driven by oil prices, public deficits and the massive debt issuance of tech giants. Central banks are seeking to preserve their credibility, in an unprecedented clash between monetary and fiscal policy that could keep interest rates higher for longer — or even push them higher still. More expensive financing would weigh on growth and ultimately penalise equity markets, while bond carry is becoming attractive again.

Analysis by Bastien Drut, Head of Research and Strategy at CPRAM. Megatrends, presented by David Jacquot on Boursorama.com.