Bloomberg Surveillance · Friday, October 2, 2026
Market participants believe that the era of near-zero interest rates and very low yields seen after the 2008 financial crisis is over, and the market is resetting structurally higher. Investors are advised to expect higher government bond yields for the foreseeable future, moving beyond the post-crisis low-yield environment.
“Is it fair to tell them this is kind of the new normal? This is actually normal when you look at it historically. And you better get used to these levels? Is that how you're thinking about the yields? Yes. I think we are in a higher for longer regime. I think government bond yields, again, across a number of markets are resetting higher structurally.”
“But the era that we had for 20 some years after the financial crisis in 08, where we had zero interest rates and very low yields, that's not coming back.”