US long-term yields have risen to levels roughly comparable with those before
the 2008 global financial crisis. Moody's Analytics chief economist Mark Zandi
said the war involving Iran is the primary driver and added the Federal Reserve
is also a factor: Fed chair Kevin Warsh appears to favor withholding forward
guidance — and even the Fed's policy reaction function — a stance that raises
uncertainty and is prompting bond investors to demand higher yields as
compensation.
