An intensifying bond rout is piling pressure on the global economy and creating a “tremendously dangerous” outlook for equities, the chief investment officer of Livermore Partners hedge fund said Friday.
A new era of higher interest rates has caused bond yields to surge, hampering returns for investors and flipping on its head the status quo of the past decade-and-a-half, David Neuhauser told CNBC. Bond yields move inversely to prices.
Asked how worrying that landscape was for equities, he said: “I think it’s tremendously dangerous at this point.”
“We’re in this world of risk where, for almost 15 years, you had a bond market that was in a bull market, and you had rates negative for several…