Yields on government debts have been spiking of late. The Japanese yields are showing signs of concern:
Amid signs of thin liquidity and increasing worries about higher government spending in Japan, yields on bonds from the 10-year to the 40-year spiked in moves reminiscent of the surge that rippled through global markets in May.
While the pressure in Japan is being heightened by the looming election on July 20, concerns over governments spending beyond their means also apply to the UK, Europe and US.
Banks and other financial institutions must be sitting on massive losses