u/Civitas_Futura

The yield on the 30-year US government bond pushed thru 5.1% today. The highest level since March of 2007.

This is undoubtedly one of the greatest experiments in financial history. It is perplexing to me that markets are totally calm. Yields are rising exponentially. Japan is heading to a place where interest payments on the debt will consume more than 50% of all tax revenue. If they allow the market to set the rates, it could be more than 75%. The only options are intervening and manipulating the debt market to control rates, or cranking up inflation to inflate away the debt. Is there any scenario where this ends without severe pain?