Global Bond Yields Rise, Waller Speaks Out | Real Yield 9/3/2026

• Fed Governor Chris Waller indicated a willingness to hold rates if inflation eases but would consider a hike if inflation comes in hot, leading to a dovish market reaction today.
• Global bond yields have seen a synchronized rise, driven by factors like fiscal policy sustainability and monetary policy credibility.
• Upcoming US August payrolls and CPI data are critical tests for market sentiment and future Federal Reserve policy decisions.
• Blackstone and Cliffwater are capping redemptions from their private credit funds, signaling potential liquidity concerns within the private credit sector.
• US national debt is at $40 trillion, with a projected $2.1 trillion federal budget deficit for FY26, as lawmakers continue spending plans despite bond market signals.

The video analyzes the volatile global bond market, highlighting Fed Governor Waller's remarks on inflation and interest rates, which led to a temporary dovish market reaction. Key upcoming US economic data, including August payrolls and CPI, are emphasized as crucial for future Fed decisions. Concerns about rising US national debt and liquidity issues in private credit funds, evidenced by Blackstone's redemption caps, also feature prominently.