Dear Subscriber,
Market Roundup
17,674.82 (-57.66)
2,075.32 (-3.74)
4,843.55 (-4.89)
10-YR Yield
1.61% (+0.00)
$1,286.80 (+$1.40)
$49.09 (-$0.43)
The Federal Reserve is worried sick about the “Zero Bound” for U.S. interest rates.
But today, the markets are worried about the “Zero Bund.”
That’s because for the first time in history, the yield on Germany’s benchmark 10-year government bond (or “bund” in German) knifed through 0%. It later fell as low as minus-0.035%.
The move coincided with a massive, worldwide push toward lower and lower yields – with Japanese 10s hitting minus-0.19%, Swiss 10s falling to minus-0.55%, and British 10s dropping to an all-time low of 1.11%.
To read the rest of Mike Larson’s Afternoon Edition, click here …