The Global Bond Sell-Off: Implications for Investors and the Fed

The recent bond selloff, which has led to rising yields, may compel the Federal Reserve to reconsider its plans for shedding assets. The central bank's strategy of reducing its balance sheet by selling Treasury bonds and mortgage-backed securities could be affected by the market volatility caused by the selloff. The Fed may need to adjust its monetary policy to address the impact of rising yields on financial conditions and the broader economy.