Prospects Daily: Confidence in euro zone rises amidst market concerns

Who knows, maybe the record low bond yields / record high prices of the seemingly 'safe haven' debts of debtor nations like Germany, France or the USA are a bubble waiting to burst. I am somewhat afraid of the possibility of suddenly rising interest rates, especially because of the predominantly short duration of the bonds of the aforementioned debtors. The effects of rapidly increasing interest payments on the national budgets and consequently on the credit-worthiness as well as the ability to foster growth by deficit spending would be severe and are an accident waiting to happen.