What name is given to the 1994 bond-market crash caused by rapidly rising interest rates?

The 1994 bond-market crash caused by rapidly rising interest rates was called the Great Bond Massacre.

Bond prices move inversely to yields: when market interest rates rise, existing bonds with lower coupon payments become less attractive, so their prices fall. In 1994, the U.S. Federal Reserve raised short-term interest rates repeatedly to restrain possible inflation and cool the economy.

The tightening surprised many investors after a long period of relatively stable rates. Bond portfolios, mutual funds, banks, and highly leveraged institutions suffered losses as yields increased around the world. Mexico’s financial crisis late in 1994 added further stress to international markets.

The phrase is often associated with losses in the global bond market rather than with a single exchange-trading day. It is also distinct from a stock-market crash: the main damage occurred in fixed-income securities as interest-rate expectations changed rapidly.