A Global Snapshot Of Government Bond Yields

View from the Observation Deck  
  1. Today's blog post shows the yields on a couple of benchmark government bond maturities from key countries/economies around the globe.
  2. While bond yields still remain near their historic lows, they have been rising in 2021, particularly with respect to 10-year government bonds (see YTD Change in table).   
  3. The yield on the U.S. 10-year Treasury note (T-note) stood at 1.36% on 2/22/21 (12:00 PM CST), 464 basis points below its historical average yield of 6.00% since 1/5/62 (not in table), according to Bloomberg.
  4. The yield spread between the U.S. 2-year T-note and the 10-year T-note was 125 basis points on 2/22/21 (12:00 PM CST), roughly in line with its 30-year average spread of 117 basis points, according to Bloomberg.   
  5. The Institute of International Finance reported that global debt stood at $281 trillion in 2020, according to Reuters. That figure was $210 trillion in 2013. 
  6. S&P Global estimates that the amount of debt issued by governments and companies will dip 3% year-over-year to $8 trillion in 2021, according to Reuters. The $8 trillion total is around 15% higher than pre-COVID levels. 
  7. As of 2/4/21, the total amount of negative-yielding debt surpassed the $16 trillion mark worldwide, according to Bloomberg.

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Posted on Tuesday, February 23, 2021 @ 11:53 AM

These posts were prepared by First Trust Advisors L.P., and reflect the current opinion of the authors. They are based upon sources and data believed to be accurate and reliable. Opinions and forward looking statements expressed are subject to change without notice. This information does not constitute a solicitation or an offer to buy or sell any security.