Bond vigilantes sell bonds when they think government isn’t doing enough to control inflation. Dumping government bonds sends their prices lower and interest rates higher.  Ed Yardeni, who coined the term in 1983, puts it this way, “if the fiscal and monetary authorities won’t regulate the economy, the bond investors will.”  In the last week of September Britain got a bitter reminder of what can happen … Continue reading Bond Vigilantes Pounced, the Pound Rolled Over