Cherry Reynard assesses the outlook for UK and global bonds against the backdrop of a more challenging year ahead.
The prospect of low yields combined with falling bond prices means the year ahead is going to be tough for fixed income seekers.
Investors are selling out of government bonds in favour of property and alternative choices such as art and classic cars, according to research from Lloyds Bank Private Banking.
The Spanish bond auction on Tuesday 17 April sent a mixed message to investors, with yields on 12- and 18-month bonds almost doubling, although demand remained strong.
Italy has sold €7.017 billion (£5.9 billion) worth of three- and 10-year bonds in its first long-term debt sale since the European Central Bank's (ECB) three-year funding operation last week.
The eurozone crisis spread its tentacles over Germany on Wednesday as traders shunned a German Bund issue.
The US has signed legislation to increase the debt ceiling by up to $2.4 trillion (£1.5 trillion) from $14.3 trillion (£8.7 trillion).
For our July cover story, we've explored what the eurozone crisis means for you. In light of recent developments in Greece, we thought it appropriate to release the story online before the magazine hits the shops on 30 June. Barry Riley reports.