Global Bonds Set for Worst Ever Month Before Burst of Rate Hikes

  • Fed expected to deliver biggest rate increase since May 2000
  • Australia, U.K. central banks also likely to tighten policy
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Global bonds are closing in on their worst month on record as investors brace for a flurry of rate hikes in the coming week, including the most aggressive U.S. tightening since May 2000.

The Bloomberg Global-Aggregate Total Return Index has lost 4.9% in April, putting it on track for the biggest monthly drop since its inception in 1990. Australia’s three-year yields climbed as much as seven basis points to 2.74%.