Taiwan’s Bonds Drop on Speculation Central Bank Turning Hawkish

Taiwan’s five-year bonds fell, spurring the biggest rise in yields since December, on speculation the central bank will follow the U.S. in signaling it plans to tighten monetary policy.

The yield has climbed five basis points in four days after Federal Reserve Chair Janet Yellen said March 19 that U.S. interest rates could be increased “around six months” after the central bank ends its bond-buying program later this year. The island’s monetary authority will hold its policy rate at