Piti Disyatat, deputy governor of the BOT, said at the IMF and World Bank annual meetings in Bangkok that although global bond yields have risen markedly, financial conditions remain relatively loose and market pricing appears disconnected from the underlying economic uncertainty. He noted equity valuations are still very high and credit spreads very low, signalling that market risk appetite has not meaningfully faded. Disyatat warned higher bond yields are a concern for heavily indebted countri

Piti Disyatat, deputy governor of the BOT, said at the IMF and World Bank annual meetings in Bangkok that although global bond yields have risen markedly, financial conditions remain relatively loose and market pricing appears disconnected from the underlying economic uncertainty. He noted equity valuations are still very high and credit spreads very low, signalling that market risk appetite has not meaningfully faded. Disyatat warned higher bond yields are a concern for heavily indebted countries because they raise government financing costs and could exacerbate fiscal stress.