America first. The 10-year U.S. Treasury yield has returned to 3% for the first time since early 2014 and markets are clearly sensitive to higher rates. But the bigger picture is that investors are still living in a world with very low rates.
That can be seen in several ways. The first is obvious: yields in other advanced economies are still nowhere near where they were in 2014, with central banks like the European Central Bank way behind the Federal Reserve in tightening policy. Germany’s 10-year yield is 0.64%, down from...