Government bond yields climbed. Here's what that quietly says about the economy.

Originally reported as: “Sovereign yields back up as markets reprice rate path and inflation risk”

Yields on government bonds rose, meaning investors are demanding a higher return to lend money to the government. Bond yields are one of the most closely watched signals in finance because they reflect expectations about interest rates and inflation. Rising yields tend to push up borrowing costs across the economy, from mortgages to business loans. When bond prices fall, yields rise, and understanding that inverse relationship is key to reading bond market news.