Covid-19 rate cuts to tug most Asian bond yields even lower: Reuters poll

Yields on sovereign bonds across most major Asian economies will fall further over the coming year, after already being yanked down following emergency interest rate cuts by central banks to counter the coronavirus hit, a Reuters poll forecast.

Stock markets have also plummeted amid fears the global lockdown to contain the virus has tipped the world economy into a recession from which it will take year to recover.

While central bank rate cuts pushed yields on most major Asian bonds to historic lows earlier this month, over the past week traders have dumped sovereign debt for cash, driving a surge in the