Not long ago, as interest rates in the rich world hovered near zero, economists debated whether their downward march was the product of a decades-, centuries- or millennia-long trend. Now the burning question is how long they will stay high.
On October 18, the 10-year Treasury yield, which incorporates long-term expectations for interest rates and was below 1 per cent as recently as 2021, hit 4.9 per cent, its highest since 2007. The 30-year Treasury yield crossed 5 per cent the same day.
