"Many things contribute to higher yields"
A whole mix speaks for rising yields, says Felix Brill. "We see the economic recovery continuing, we see high inflation rates and we see the Fed preparing the markets for a normalisation in monetary policy. This is going to contribute to higher yields", he says in the interview format "Our View - The Questions".
It is not surprising that the bond market in particular is focusing on the risks also the Fed has stressed. "Bond investors focus more on risks than equity investors" says VP Bank's Chief Investment Officer.
The stronger franc and also the stronger dollar fit into the picture of heightened risk perception. "We think this is only a temporary phenomenon. We expect both the dollar and the Swiss franc to lose value going forward."