Central banks must head for the exit and stop trying to spur a global economic recovery, the Bank for International Settlements has said following a week of market turbulence sparked by the US Federal Reserve’s signal that it would soon cut the pace of its bond buying.

US Treasuries, which saw yields hit their highest level in almost two years on Friday, face further challenges this week as they prepare to sell an extra $99bn of debt. After last week’s global sell-off, markets in the US will also be knocked by traders winding down for the end of the second quarter.

The Basel-based BIS, which counts the world’s leading monetary authorities as members, said cheap and plentiful central bank money had merely bought time, warning that more bond buying would retard the global economy’s return to health.