Submitted by Deepcaster:
The Bond Vigilantes will begin to ride again soon. And notwithstanding The Fed’s ongoing open-ended commitment to be buying (now over 70% of) U.S. Debt, which has temporarily suppressed rates, but cannot do so forever. Central Banks have added $5 Trillion! to the monetary base since 2007. This cannot continue without dire consequences. Consumer Prices would have to double from here (i.e. increase 10%/yr for 7 years) to keep up with monetary base increases.
Going forward we are likely to see an intensification of trends already developing, i.e. increasing stagflation. That is, we are seeing an increasing economic contraction coupled with increasing inflation.