I’m going to post some data, without commentary, and let the reader draw their own conclusions.
Here are the 10-year bond yields for every country in the world that meets these conditions:
- Have their own currency (sorry countries using the euro)
- Have a nominal GDP per capita of above $25,000 USD (from this list)
That leaves us with 15 countries, including Canada.
Here’s a chart of those 15 countries, containing:
- Their bond rating as of Oct. 31, 2020 (source)
- Their 10-year bond yield as of Oct. 31, 2020 (source)
- Their central bank policy rate as of Oct. 31, 2020 (source)
- Their 2020 nominal GDP per capita (source)
- What percentage their currency makes up of global currency trades (source)
Here’s the full list:
Here’s that same list, removing the global currency heavyweights of US, Japan and UK:
Maybe a bit of commentary:
- Canada’s bond yields are higher than our global competitors.
- Can we kill this idea that the Bank of Canada is solely responsible for Canada’s “rock bottom low yields” (which, as it turns out, are not at rock bottom lows)?