Alex Brummer: Bond and Stock Markets Signal Growing Risk of a Crash

Bond and stock market warnings point to mounting risk of a crash, according to Alex Brummer, as debt levels rise across the developed and emerging world. The piece cites the Institute of International Finance saying global debt increased by $10 trillion in the first six months of the year, bringing the total to above $365 trillion. It highlights that UK, United States, France and Japan face especially large deficits and rising interest costs. While stronger credit ratings reduce the immediate risk of default in major economies, the article notes OECD warnings about debt-service burdens on growth. It points to US 30-year Treasury yields reaching the highest level in 22 years and cites concerns from the Bank for International Settlements about leverage and AI-linked equity valuations.