The governments around the world had been raising funds in the bond markets since the crisis started and this had resulted in low liquidities in the stock markets worldwide which stifled the recoveries of the stock markets.
Governments have raised more than $4 trillions dollars since the inception of the crisis and a BIG bubble is starting to form in the bond market. Corporations around the world also tapped into the bond market after exhausting the tradition means of raising funds due to the financial crisis which made the banks reluctant to give loans.
When this burgeoning bubble bursts, many fixed income funds like pension funds will fall into the abyss and the men on the streets will suffer. World demands will collapse and businesses will be greatly affected. Stock markets around the world will tumble heavily causing great panic everywhere.
This scenario is not a remote possibility if we do not do the right thing.
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