The Bank of Japan’s Governor Haruhiko Kuroda is cornered, and Europe’s Mario Draghi may be next
by Ambrose Evans-Pritchard
The growth rate of nominal GDP in the US has fallen to 2.4pc, the lowest level outside recession since the Second World War.
It has been sliding relentlessly for almost two years, a warning signal that underlying deflationary forces may be tightening their grip on the US economy.
Given this extraordinary backdrop, the violent spike in US and global bonds yields over the last four trading days is extremely odd. It is rare for AAA-rated safe-haven debt to fall out of favour at the same time as stock markets, and few explanations on offer make sense.