Almost everywhere, government-bond yields are rising fast. Those on ten-year American Treasury bonds are almost 5%. German bunds now offer 2.6%, up from close to 2% in December. Japanese bond yields are climbing. Things are particularly extreme in Britain, where gilt yields recently reached almost 5%, their highest since 2008 (see chart 1). Rising yields are bad news for governments, which must pay more to service debts. They are also painful for all sorts of other borrowers, including many mortgage-holders, whose bills ultimately depend on governments’ borrowing costs.