The IMF’s Global Financial Stability Report cautions that rising sovereign yields and massive AI‑related borrowing could spark disorderly market moves, but it also notes India’s comparatively sound fiscal path as a stabilising factor.
A pullback in US and Japanese yields highlights a broader consolidation in global debt markets, even as diverging policy paths squeeze key international spreads.
A dramatic day of trading saw US 10-year borrowing costs touch their highest level since 2002 before a sudden flight to safety pulled yields back down.
