NewsMV

Bond market sell-off puts income strategy in focus as rates and deficits rise

9/2/2026

The bond market is selling off, and the pressure is coming from more than one direction.

Government debt is rising, deficits are widening, interest rates are climbing, and inflation is keeping investors on edge about real returns.

Income generation remains critical in this environment, even as the instruments built to deliver it are repricing lower. The supply-side mechanics are direct.

Growing fiscal deficits require growing issuance of government debt.