Analysis:AI-driven surge in bond yields could be next risk for markets and growth

LONDON, Aug 14 : Market gauges of inflation-adjusted borrowing costs have shot to their highest in more than a decade across major economies as AI companies and governments ramp up bond sales, raising risks for stock markets and the world economy.Real yields are the returns that a bond investor demands above inflation and are an important indicator of true borrowing costs for governments and companies. They are typically determined by expectations about growth, interest rates and the supply and demand of money.U.S. 30-year real yields, as measured by inflation-linked bonds, are near 18-year highs at around 3 per cent, while British and German 10-year real yields are trading at around their highest in more than a decade.Investors and analysts say a surge in borrowing by AI "hyperscalers", a