Deutsche Bank macro strategist Henry Allen noted in his latest report that bond markets have begun pricing in rising inflation pressures, expanding fiscal risks, and more aggressive monetary policy, with global yields climbing to multi-year highs. However, global equities remain near historical highs, with the S&P 500 less than 1% from its all-time peak, the Euro Stoxx 600 less than 4% from its high, and the VIX volatility index staying low. Deutsche Bank warned that this structural misalignment between bond and equity markets is unlikely to persist long-term, and unless recent financial market pressures quickly dissipate, risk assets will face increasing selling pressure. The report also mentioned that the spread between French and German 10-year government bond yields widened by 32 basis points last week, the largest weekly increase since German reunification in 1990, yet European equities reacted with unusual calm.