Global Bonds Tumble as UK Tax Cuts Deliver Fresh Headwinds

Treasuries sold off Monday to deepen the worst bond slide in decades, reflecting worry that global central banks will have to accelerate policy tightening after UK tax cuts fueled concern of government spending.

US government debt slid across the curve, with two- and five year yields surging as much as 14 basis points to a fresh 15-year high. German bund futures also tumbled. The UK government’s package of tax cuts and regulatory reforms, announced Friday, continued to push borrowing costs higher in the new week. Yields on two-year gilts rose by more than 60 basis points, the most since 2009. ...