Dr. Amonthep Warns of Bond Market Volatility and Rising US Yields

Prachachat•Economy•18d ago

Reader Briefing

Amonthep Jawala of CIMB Thai warns that rising US and Japanese bond yields could impact business costs and assets.

•Amonthep Jawala warns of a potential bond market explosion due to rising US bond yields.
•US 30-year bond yields have surged above 5.28%.
•Japanese 30-year bond yields have risen from 3% at the start of the year to over 4%.
•Amonthep Jawala advises investors to diversify their portfolios.

•Amonthep Jawala warns that the bond market could explode because the market believes the US government will not stop incurring debt.
•US 30-year bond yields have risen above 5.28% and appear likely to continue increasing.
•The US Treasury Secretary implemented measures to lower long-term bond yields, but the market lacks confidence in these measures.
•Japanese 30-year bond yields rose from 3% at the beginning of the year to over 4%.
•Amonthep Jawala suggests the Bank of Japan may raise interest rates from 1% to stabilize the Yen and stop government debt that exceeds 200% of GDP.
•Rising yields may lead to increased business financial costs, higher home loan costs, and decreased accounting asset values.
•Amonthep Jawala does not currently believe this will trigger a financial crisis unless other triggers occur, such as reduced AI capex or increased unemployment.
•Amonthep Jawala recommends that investors diversify their portfolios.

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Amonthep Jawala

"Beware of the bond market exploding"

ระวังตลาดพันธบัตรระเบิด

Amonthep Jawala

"Ending with the advice to diversify portfolios well"

จบที่คำแนะนำให้กระจายพอร์ตให้ดี

Amonthep Jawala(อมรเทพ จาวะลา)

Assistant Managing Director and Executive of the Research Department at CIMB Thai.

CIMB Thai(ซีไอเอ็มบี ไทย)

The bank where Amonthep Jawala serves as an executive of the research department.

The central bank of Japan that may raise interest rates from 1% to stabilize the Yen.

United States(สหรัฐ)ℹ️

The country whose government is incurring debt and whose 30-year bond yields have risen above 5.28%.

Japan(ญี่ปุ่น)ℹ️

The country whose government debt exceeds 200% of GDP and whose 30-year bond yields have risen over 4%.