US President Donald Trump’s reckoning is dominating headlines. The deadly Capitol Hill riots the US president fomented have left him fighting for his political life eight days before Joe Biden’s arrival.

Yet another casualty of the Trump era might soon be leading the global news cycle: a US bond market whose credibility Trump may be leaving for dead.

Look no further than 10-year Treasury yields rising on Friday after a surprisingly weak US unemployment report. The 140,000 drop in December payrolls was the clearest sign yet that the world’s largest economy is hitting a fresh Covid-19 wall.

What does this mean? No “V-shaped” recovery, no inflation and even less risk of Federal Reserve tapering. So sell orders are flying.

To understand what’s afoot, look no further than financier Ray Dalio’s recent musings on China and, by extension, the financial dumpster fire Trump leaves behind.