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The bond bubble has burst – what comes subsequent?

Byadmin2

May 13, 2022
220419 bond bubble

Earlier than we get began at the moment, a reminder – if you’d like excuse to be in Edinburgh on Saturday 30 April, Merryn and I will probably be interviewing one of many smartest folks in finance, Russell Napier, to rejoice the opening of the brand new premises of his Library of Errors.

The occasion is totally free, however tickets are restricted, and greater than half of them have gone already, so be fast and reserve your spot now. I’m trying ahead to it and it’d be good to see you there.

It seems that the bond bubble has nicely and actually popped.

Bond buyers – accustomed to regular, even perhaps “somewhat good by historic requirements” annual positive aspects – have skilled a few of their largest losses on report over the past 12 months or so.

So what occurs now?

Bond costs are collapsing

US long-dated Treasury costs have fallen roughly by a 3rd for the reason that center of 2020, notes Louis-Vincent Gave of Gavekal. That implies that “Treasuries have now taken out greater than 5 years’ value of positive aspects and gathered revenue, with the asset’s long-dated index again at its July 2016 stage”.

Ouch. These are the kinds of losses which may make even an fairness investor wince. For a bond investor – used to the concept these are risk-free belongings, the wise ballast weighting the flightier, riskier components of your portfolio – it should really feel just like the world is falling in.

So what’s happening? As a fast reminder for these of you who glaze over as quickly as the topic of bonds comes up, most authorities bonds pay a hard and fast revenue. So when bond costs fall, yields rise (similar to the connection between dividends and share costs).

So one other technique to put all that is that US long-term rates of interest hit a backside in mid-2020 and have since risen sharply.

There are good causes for this. Strange bonds (as in, ones that pay a hard and fast revenue) are allergic to inflation. Why’s that? Effectively, if an IOU guarantees to pay you £5 a 12 months, yearly, with no credit score danger, till it matures, how a lot are you prepared to pay for it?

The reply is: it relies upon. However when you count on inflation to be excessive and rising sooner or later, you’re going to pay lower than when you count on inflation to fall and even flip adverse.

Within the first state of affairs, your £5-a-year payout is shedding worth yearly at an accelerating price. Within the second state of affairs, your £5 is shedding worth at a slower price and if inflation turns adverse, it would even turn out to be extra precious.

Put very merely, we’ve gone from an setting the place buyers largely believed that the primary state of affairs was extra probably than the second, to a state of affairs wherein buyers are beginning to imagine that the second is extra probably.

So it is sensible that long-term bonds (that are extra delicate to all these things than short-term ones, as a result of their worth is extra depending on payouts additional into the longer term) have dropped in worth.

Additionally, notice that it’s not simply the lengthy bond – bond costs are falling and yields are rising throughout the board. Excessive-rate US company debt for instance, notes Lisa Abramowicz on Bloomberg, now yields greater than 4%, not far off its highest stage since 2011.

And naturally, the mountain of negative-yielding debt that turned such a obtrusive indicator of the downright weirdness of the post-financial disaster period, has now thawed away near nothingness, sitting at round $2.7trn, the bottom determine since 2015.

There’s extra to it than merely inflation rising, it’s additionally about how central banks react to inflation. We final noticed strikes within the bond market like this within the interval between late 2017 and late 2018.

That’s when the Federal Reserve, America’s central financial institution, began elevating rates of interest within the hope of getting again to one thing approaching “regular” once more. That was aborted after China’s development panic stopped the Fed in its tracks and we then noticed long-term yields drop over the course of 2019.

Then after all we had the corona panic throughout which the world’s central banks flooded the place with liquidity and thus pushed bond costs larger and yields decrease.

Bond costs are actually largely round about the place they have been at the newest backside in late 2018. The rationale the ache has been far more dramatic this time spherical is as a result of they fell from a better peak, and the decline has been extra fast than throughout 2018.

What would possibly trigger a rebound in bonds?

What turned bonds round final time is the Fed altering its thoughts about rate of interest rises. May the identical factor occur once more this time?

It’s value contemplating, given the pleasing symmetry within the charts, if nothing else. It’s precisely the type of space you would possibly count on to see a rebound when you place inventory in such issues.

Greater than that, it’s important to suppose that central banks have to be beginning to get nervous. We had the yield curve just lately signalling a recession. We’ve got rates of interest on authorities debt capturing up at a time when there’s an terrible lot of presidency debt on the market.

And there are all kinds of issues about bits of the monetary plumbing. The commodities sector is having many tribulations with the rising prices of insuring towards worth strikes; the Japanese yen is cratering. These are all misery alerts.

Furthermore, Financial institution of America’s newest world fund supervisor survey additionally confirmed that fund managers are exceptionally gloomy in regards to the outlook, extra so than they have been even after the monetary disaster of 2008, which is putting.

They’re additionally extraordinarily anxious about market fragility – in different phrases, they suppose one thing is ready to interrupt. They usually hate bonds.

That every one alerts to a contrarian investor that it could be time for the stress to interrupt and one thing to vary. The obvious factor can be that we get some type of gentle reduction on the US inflation entrance (all you really want is the April determine to come back in a bit much less astronomical than forecast) and the Fed can nod to being a bit much less hawkish and also you’ll get a reduction rally.

Sarcastically, the opposite factor, which Gave factors out, which may give a short-term rebound to US Treasuries can be a victory for Marine Le Pen within the upcoming French election, which might see a “protected haven” rush.

Both method, I don’t suppose it might characterize a long-term change – I believe that this time the bond bubble actually has burst for actual.

On that entrance, I’d simply reiterate that you must ensure you personal some gold, and likewise ensure you maintain some money for the inevitable panics that may little question be a part of the return to “regular”.

I’d simply add that that is all of the type of stuff that we might be chatting to Russell about on 30 April, so do come alongside when you get the prospect.

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John Stepek explains what’s happening and asks what would possibly make costs flip again up once more.”,”authors”:[{“__ref”:”Author:600117″}],”label”:”Evaluation”,”classes”:[{“__typename”:”TaxonomyTerm”,”name”:”Bonds”,”url”:”https://moneyweek.com/investments/bonds”},{“__typename”:”TaxonomyTerm”,”name”:”Investment strategy”,”url”:”https://moneyweek.com/investments/investment-strategy”},{“__typename”:”TaxonomyTerm”,”name”:”Investments”,”url”:”https://moneyweek.com/investments”},{“__typename”:”TaxonomyTerm”,”name”:”Global Economy”,”url”:”https://moneyweek.com/economy/global-economy”},{“__typename”:”TaxonomyTerm”,”name”:”Government bonds”,”url”:”https://moneyweek.com/investments/bonds/government-bonds”}],”belowBodyTerms”:[{“__typename”:”TaxonomyTerm”,”name”:”Bonds”,”url”:”https://moneyweek.com/investments/bonds”},{“__typename”:”TaxonomyTerm”,”name”:”Investment strategy”,”url”:”https://moneyweek.com/investments/investment-strategy”},{“__typename”:”TaxonomyTerm”,”name”:”Investments”,”url”:”https://moneyweek.com/investments”},{“__typename”:”TaxonomyTerm”,”name”:”Global Economy”,”url”:”https://moneyweek.com/economy/global-economy”},{“__typename”:”TaxonomyTerm”,”name”:”Government bonds”,”url”:”https://moneyweek.com/investments/bonds/government-bonds”},{“__typename”:”TaxonomyTerm”,”name”:”Money Morning”,”url”:”https://moneyweek.com/money-morning-email”},{“__typename”:”TaxonomyTerm”,”name”:”Latest News”,”url”:”https://moneyweek.com/latest-news”}],”physique”:[{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>u003cem>Before we get started today, a reminder – if you want a good excuse to be in Edinburgh on Saturday 30 April, Merryn and I will be interviewing one of the smartest people in finance, Russell Napier, to celebrate the opening of the new premises of his Library of Mistakes.u003c/em>u003c/p>n””,”wordCount”:50},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>u003cem>The event is completely free, but tickets are limited, and more than half of them have gone already, so be quick and u003c/em>u003ca href=”https://www.eventbrite.co.uk/e/russell-napier-in-conversation-with-merryn-somerset-webb-john-stepek-tickets-318666248327″>u003cem>reserve your spot nowu003c/em>u003c/a>u003cem>. I’m looking forward to it and it’d be nice to see you there.u003c/em>u003c/p>n””,”wordCount”:40},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>It appears that the bond bubble has well and truly popped.u003c/p>n””,”wordCount”:11},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>Bond investors – accustomed to steady, perhaps even “rather good by historic standards” annual gains – have experienced some of their biggest losses on record over the last year or so.u003c/p>n””,”wordCount”:31},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>So what happens now?u003c/p>n””,”wordCount”:4},{“__typename”:”DataBlock”,”type”:”HEADER”,”data”:”{“text”:”Bond prices are collapsing”,”size”:”3″}”,”wordCount”:null},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>US long-dated Treasury prices have fallen roughly by a third since the middle of 2020, notes Louis-Vincent Gave of Gavekal. That means that “Treasuries have now taken out more than five years’ worth of gains and accumulated income, with the asset’s long-dated index back at its July 2016 level”.u003c/p>n””,”wordCount”:49},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>Ouch. Those are the sorts of losses that might make even an equity investor wince. For a bond investor – used to the idea that these are risk-free assets, the sensible ballast weighting the flightier, riskier parts of your portfolio – it must feel like the world is falling in.u003c/p>n””,”wordCount”:50},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>So what’s going on? As a quick reminder for those of you who glaze over as soon as the subject of bonds comes up, most u003ca href=”https://moneyweek.com/investments/investment-strategy/too-embarrassed-to-ask/603397/what-is-a-sovereign-bond”>government bondsu003c/a> pay a fixed income. So when bond prices fall, yields rise (just like the relationship between u003ca href=”https://moneyweek.com/glossary/dividend/”>dividendsu003c/a> and share prices).u003c/p>n””,”wordCount”:47},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>So another way to put all this is that US long-term interest rates hit a bottom in mid-2020 and have since risen sharply.u003c/p>n””,”wordCount”:23},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>There are good reasons for this. Ordinary bonds (as in, ones that pay a fixed income) are allergic to inflation. Why’s that? Well, if an IOU promises to pay you £5 a year, every year, with no credit risk, until it matures, how much are you willing to pay for it?u003c/p>n””,”wordCount”:51},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>The answer is: it depends. But if you expect u003ca href=”https://moneyweek.com/investments/investment-strategy/too-embarrassed-to-ask/602442/what-is-inflation”>inflationu003c/a> to be high and rising in the future, you’re going to pay less than if you expect inflation to fall or even turn negative.u003c/p>n””,”wordCount”:34},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>In the first scenario, your £5-a-year payout is losing value every year at an accelerating rate. In the second scenario, your £5 is losing value at a slower rate and if inflation turns negative, it might even become more valuable.u003c/p>n””,”wordCount”:40},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>Put very simply, we’ve gone from an environment where investors largely believed that the first scenario was more likely than the second, to a scenario in which investors are starting to believe that the second is more likely.u003c/p>n””,”wordCount”:38},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>So it makes sense that long-term bonds (which are more sensitive to all this stuff than short-term ones, because their value is more dependent on payouts further into the future) have dropped in value.u003c/p>n””,”wordCount”:34},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>Also, note that it’s not just the long bond – bond prices are falling and yields are rising across the board. High-rate US u003ca href=”https://moneyweek.com/investments/bonds/corporate-bonds”>corporate debtu003c/a> for example, notes Lisa Abramowicz on Bloomberg, now yields more than 4%, not far off its highest level since 2011.u003c/p>n””,”wordCount”:45},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>And of course, the mountain of negative-yielding debt that became such a glaring indicator of the downright weirdness of the post-financial crisis era, has now thawed away close to nothingness, sitting at around $2.7trn, the lowest figure since 2015.u003c/p>n””,”wordCount”:39},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>There’s more to it than simply inflation rising, it’s also about how central banks react to inflation. We last saw moves in the bond market like this in the period between late 2017 and late 2018.u003c/p>n””,”wordCount”:36},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>That’s when the Federal Reserve, America’s central bank, started raising interest rates in the hope of getting back to something approaching “normal” again. That was aborted after China’s growth panic stopped the Fed in its tracks and we then saw long-term yields drop over the course of 2019.u003c/p>n””,”wordCount”:48},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>Then of course we had the corona panic during which the world’s central banks flooded the place with liquidity and thus pushed bond prices higher and yields lower.u003c/p>n””,”wordCount”:28},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>Bond prices are now largely around about where they were at the most recent bottom in late 2018. The reason the pain has been much more dramatic this time round is because they fell from a higher peak, and the decline has been more rapid than during 2018.u003c/p>n””,”wordCount”:48},{“__typename”:”DataBlock”,”type”:”HEADER”,”data”:”{“text”:”What might cause a rebound in bonds?”,”size”:”3″}”,”wordCount”:null},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>What turned bonds around last time is the Fed changing its mind about interest rate rises. Could the same thing happen again this time?u003c/p>n””,”wordCount”:24},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>It’s worth considering, given the pleasing symmetry in the charts, if nothing else. It’s exactly the sort of area you might expect to see a rebound if you place stock in such things.u003c/p>n””,”wordCount”:33},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>More than that, you have to think that central banks must be starting to get nervous. We had the u003ca href=”https://moneyweek.com/glossary/yield-curve”>yield curveu003c/a> recently signalling a recession. We have interest rates on government debt shooting up at a time when there’s an awful lot of government debt out there.u003c/p>n””,”wordCount”:47},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>And there are all sorts of concerns about bits of the financial plumbing. The commodities sector is having many tribulations with the rising costs of insuring against price moves; the Japanese yen is cratering. These are all distress signals.u003c/p>n””,”wordCount”:39},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>Moreover, Bank of America’s latest global fund manager survey also showed that fund managers are exceptionally gloomy about the outlook, more so than they were even after the financial crisis of 2008, which is striking.u003c/p>n””,”wordCount”:35},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>They are also extremely worried about market fragility – in other words, they think something is set to break. And they hate bonds.u003c/p>n””,”wordCount”:23},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>That all signals to a contrarian investor that it might be time for the tension to break and something to change. The most obvious thing would be that we get some sort of mild relief on the US inflation front (all you really need is the April figure to come in a bit less astronomical than forecast) and the Fed can nod to being a bit less hawkish and you’ll get a relief rally.u003c/p>n””,”wordCount”:74},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>Ironically, the other thing, which Gave points out, that might give a short-term rebound to US Treasuries would be a victory for Marine Le Pen in the upcoming French election, which could see a “safe haven” rush.u003c/p>n””,”wordCount”:37},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>Either way, I don’t think it would represent a long-term change – I suspect that this time the bond bubble really has burst for real.u003c/p>n””,”wordCount”:25},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>On that front, I’d just reiterate that you should u003ca href=”https://moneyweek.com/2342/a-beginners-guide-to-investing-in-gold”>make sure you own some goldu003c/a>, and also make sure you hold some cash for the inevitable panics that will no doubt be part of the return to “normal”.u003c/p>n””,”wordCount”:39},{“__typename”:”DataBlock”,”type”:”TEXT”,”data”:””u003cp>nI’d just add that this is all the sort of stuff that we may well be chatting to Russell about on 30 April, u003ca href=”https://www.eventbrite.co.uk/e/russell-napier-in-conversation-with-merryn-somerset-webb-john-stepek-tickets-318666248327″>so do come along if you get the chanceu003c/a>.u003c/p>n””,”wordCount”:33}],”primaryMedia”:{“__typename”:”Picture”,”src”:”https://media.moneyweek.com/picture/personal/s–rfqae28U–/v1650362859/editorial/2022/220419-bond-bubble.jpg”,”caption”:”The Fed’s change of thoughts on rates of interest stopped the final bond rout”,”credit score”:”© SAUL LOEB/AFP by way of Getty Pictures”,”alt”:”US Federal Reserve Constructing”},”isSponsored”:false,”monetising”:[{“__typename”:”Monetising”,”service”:”digiteka”,”enabled”:true,”config”:[{“__typename”:”KVP”,”key”:”id”,”value”:”02314201″},{“__typename”:”KVP”,”key”:”zone”,”value”:”2″}]}],”sponsor”:null,”sources”:{“__typename”:”Sources”,”whitepaper”:{“__typename”:”Whitepaper”,”whitepaperAssetId”:””,”formName”:””,”locale”:””}},”teaserImage”:{“__typename”:”Picture”,”src”:”https://media.moneyweek.com/picture/personal/s–rfqae28U–/v1650362859/editorial/2022/220419-bond-bubble.jpg”,”width”:1408,”top”:792,”caption”:”The US Federal Reserve’s change of thoughts on rates of interest stopped the final bond rout”,”credit score”:”© SAUL LOEB/AFP by way of Getty Pictures”,”alt”:”US Federal Reserve Constructing”}},”pagination”:{“__typename”:”Pagination”,”currentPage”:1,”totalPages”:0}}},”Article:604846″:{“id”:”604846″,”__typename”:”Article”,”title”:”Cryptocurrencies are crashing – so how low will bitcoin go?”,”altTitle”:null,”subtitle”:”Your complete cryptocurrency sector is crashing, with bitcoin now nicely beneath $30,000. That is huge, says Dominic Frisby. So simply how low might bitcoin go?”,”url”:”https://moneyweek.com/investments/alternative-finance/bitcoin-crypto/60484/how-low-will-bitcoin-go-crypto-crash”,”teaserLabel”:”Bitcoin & crypto”,”teaserImage”:{“__typename”:”Picture”,”src”:”https://media.moneyweek.com/picture/personal/s–4QGubYQs–/v1652347775/editorial/2022/220512-bitcoin-crash.jpg”,”width”:1408,”top”:792,”caption”:null,”credit score”:”© Chesnot/Getty Pictures”,”alt”:”Bitcoin crash “},”up to date”:”2022-05-12T10:32:48+01:00″,”isSponsored”:false,”sponsor”:null},”Article:604833″:{“id”:”604833″,”__typename”:”Article”,”title”:”Why has the Terra stablecoin damaged its US greenback peg and do you have to care?”,”altTitle”:null,”subtitle”:”The Terra stablecoin is meant to match the worth of the US greenback – however its worth has crashed. John Stepek explains what it means for you and your investments.”,”url”:”https://moneyweek.com/investments/alternative-finance/bitcoin-crypto/604833/terra-stablecoin-broken-its-us-dollar-peg”,”teaserLabel”:”Bitcoin & crypto”,”teaserImage”:{“__typename”:”Picture”,”src”:”https://media.moneyweek.com/picture/personal/s–Hk0zN-Rw–/v1652178550/editorial/2022/220510-terra-stablecoin.jpg”,”width”:1408,”top”:792,”caption”:null,”credit score”:”© Vladyslav Yushynov / Alamy”,”alt”:”Terra stablecoin”},”up to date”:”2022-05-10T11:38:25+01:00″,”isSponsored”:false,”sponsor”:null},”Article:604835″:{“id”:”604835″,”__typename”:”Article”,”title”:”The tech-stock bubble has burst – however I nonetheless need a Peloton”,”altTitle”:”The tech-stock bubble has burst – however I nonetheless need a Peloton”,”subtitle”:”Peloton was one of many huge winners from the Covid tech growth. Nevertheless it’s fallen over 90% because the tech inventory bubble bursts and and all the things else falls in tandem. Right here, Dominic Frisby explains the place to cover as markets crash.”,”url”:”https://moneyweek.com/investments/stockmarkets/604835/tech-stock-bubble-burst-peloton-share-price-crash”,”teaserLabel”:”Stockmarkets”,”teaserImage”:{“__typename”:”Picture”,”src”:”https://media.moneyweek.com/picture/personal/s–U1yCVF0E–/v1652263323/editorial/2022/220511-peloton.jpg”,”width”:1408,”top”:792,”caption”:null,”credit score”:”© Michael Nagle/Bloomberg by way of Getty Pictures”,”alt”:”Peloton Nasdaq itemizing”},”up to date”:”2022-05-11T11:15:29+01:00″,”isSponsored”:false,”sponsor”:null},”Article:604829″:{“id”:”604829″,”__typename”:”Article”,”title”:”The market is adjusting to a brand new “quick desires, lengthy actuality” world”,”altTitle”:null,”subtitle”:”As rates of interest rise, issues are beginning to change, says John Stepek. Actuality is biting again. Gone are the fanciful concepts constructed on hope – a enterprise now wants a stable basis.”,”url”:”/investments/stockmarkets/604829/the-new-short-dreams-long-reality-world-as-interest-rates-rise”,”teaserLabel”:”Stockmarkets”,”teaserImage”:{“__typename”:”Picture”,”src”:”https://media.moneyweek.com/picture/personal/s–Vq1lj2wS–/v1652091890/editorial/2022/220509-cathie-wood.jpg”,”width”:1408,”top”:792,”caption”:null,”credit score”:”© Marco Bello/Getty Pictures”,”alt”:”Cathie Wooden ©”},”up to date”:”2022-05-09T11:24:23+01:00″,”isSponsored”:false,”sponsor”:null},”Article:604856″:{“id”:”604856″,”__typename”:”Article”,”title”:”James Anderson: innovation remains to be the important thing to returns”,”altTitle”:null,”subtitle”:”James Anderson, the person behind the Scottish Mortgage funding belief, tells Merryn Somerset Webb what he’d purchase now”,”url”:”https://moneyweek.com/investments/investment-strategy/604856/james-anderson-innovation-is-still-the-key-to-returns”,”teaserLabel”:”Funding technique”,”teaserImage”:{“__typename”:”Picture”,”src”:”https://media.moneyweek.com/picture/personal/s–o7IT1pcC–/v1652447465/editorial/2022/MWE1103.interview.foremost.jpg”,”width”:1408,”top”:792,”caption”:null,”credit score”:”James Anderson © Baillie Gifford”,”alt”:”James Anderson © Baillie Gifford”},”up to date”:”2022-05-13T14:03:13+01:00″,”isSponsored”:false,”sponsor”:null},”Article:604340″:{“id”:”604340″,”__typename”:”Article”,”title”:”Cryptocurrency roundup: “stablecoin” instability provokes a wider crypto-crash”,”altTitle”:null,”subtitle”:”Cryptocurrencies crashed arduous this week as stablecoins proved lower than steady. Saloni Sardana rounds up the week’s cryptocurrency information.”,”url”:”https://moneyweek.com/investments/alternative-finance/bitcoin-crypto/604340/cryptocurrency-roundup”,”teaserLabel”:”Bitcoin & crypto”,”teaserImage”:{“__typename”:”Picture”,”src”:”https://media.moneyweek.com/picture/personal/s–ZkdNjNKu–/v1636112671/editorial/2021/211105-crypto-roundup.jpg”,”width”:1408,”top”:792,”caption”:null,”credit score”:”© Jack Taylor/Getty Pictures”,”alt”:”Cryptocurrency tokens”},”up to date”:”2022-05-13T12:30:00+01:00″,”isSponsored”:false,”sponsor”:null},”Article:604855″:{“id”:”604855″,”__typename”:”Article”,”title”:”Curiosity-rate rises imply extra ache for shares”,”altTitle”:null,”subtitle”:”Rates of interest are rising world wide as central banks attempt to get inflation below management. That’s hitting stockmarkets – and there’s extra ache to come back.”,”url”:”https://moneyweek.com/investments/stockmarkets/604855/interest-rate-rises-mean-more-pain-for-stocks”,”teaserLabel”:”Stockmarkets”,”teaserImage”:{“__typename”:”Picture”,”src”:”https://media.moneyweek.com/picture/personal/s–eSuddRZn–/v1652440796/editorial/2022/MWE1103.markets_01.main_1395398679.jpg”,”width”:1408,”top”:792,”caption”:null,”credit score”:”© Win McNamee/Getty Pictures”,”alt”:”Jerome Powell”},”up to date”:”2022-05-13T12:15:00+01:00″,”isSponsored”:false,”sponsor”:null},”Article:604852″:{“id”:”604852″,”__typename”:”Article”,”title”:”Excessive inflation will fade – right here’s why”,”altTitle”:”Excessive inflation will fade – right here’s why”,”subtitle”:”Many individuals count on excessive inflation to persist for a very long time. However which may not be true, says Max King. Inflation might fall quicker than anticipated – and the UK might keep away from recession. Right here’s why.”,”url”:”https://moneyweek.com/financial system/inflation/604852/high-inflation-will-fall-heres-why”,”teaserLabel”:”Inflation”,”teaserImage”:{“__typename”:”Picture”,”src”:”https://media.moneyweek.com/picture/personal/s–8adNB8FA–/v1652432433/editorial/2022/220513-high-inflation2.jpg”,”width”:1408,”top”:792,”caption”:null,”credit score”:”© DANIEL LEAL/AFP by way of Getty Pictures”,”alt”:”Man purchasing for fruit”},”up to date”:”2022-05-13T10:06:06+01:00″,”isSponsored”:false,”sponsor”:null},”Creator:600117″:{“id”:”600117″,”__typename”:”Creator”,”title”:”John Stepek”,”url”:”https://moneyweek.com/authors/john-stepek”,”picture”:{“__typename”:”Picture”,”src”:”https://media.moneyweek.com/picture/personal/s–W4t389B0–/v1572010393/MoneyWeek/2013/02/john-stepek-188.png”,”width”:150,”top”:188,”caption”:null,”credit score”:null,”alt”:null}}};

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