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RE: The dangerous cocktail of rising global bond yields and falling inflation.
Well the U.S. economy is being driven by credit and easy money, we have stagnant wages, massive federal debt and high unemployment. If credit is tightened while our economy is weak you may see a recessionary trend. Could be catastrophic until government expenses are reigned in and taxes are cut.
I can see the US going into a period of stagflation which has been happening to Japan for the last 10 years or so!
I would argue we've already been in this scenario since the 2008 housing crisis. Inflated asset prices due to excess credit issued by the bank of japan, a central bank, lead to the bubble and bust. BOJ then "bailed out" major industries leaving decades of low employment and wage gains, with the taxpayer footing the bill. We practically copy/pasted it with sub-prime mortgages, inflating housing prices, bubble burst, bailouts and taxes.
Yet more cut and pasting on top of old cutting and pasting = DOUBLE OUCH!!