Global Central Banks Pause as Bond Vigilantes and War Scars Tighten the Screws

Major central banks—the Fed, Bank of England, and Bank of Japan—all left interest rates unchanged this week as they assessed renewed inflation risks from higher energy costs and the widening Middle East war. The Fed held its benchmark rate at 3.5%-3.75%, though three officials voted for higher rates, signaling deepening policy divides.

Bond Vigilantes Step In

Fed Chair Kevin Warsh may have paused on rates, but **bond investors are doing the tightening for...