The amount of bonds with a negative yield is higher than $14 trillion, according to Bloomberg. This means that by the end of 2020, almost 25% of the Global Government Bond Index will have negative rates.
Who buys these bonds and why?
All posts by Daniel Lacalle
Rare Earths Are No Weapon In A Trade War
Rare Earth Reserves Are Not A Trade War Gamechanger.
Why:
1. There are plenty. The US has more than 140 years of its annual consumption in domestic reserves and can use alternative sources, benefitting other emerging market economies. Continue reading Rare Earths Are No Weapon In A Trade War
Earnings recession ahead?
With the first quarter earnings´season almost over, we can say that the risk of an imminent earnings recession is far greater than what is discounted by an optimistic market. Continue reading Earnings recession ahead?
The Mistakes of Using GDP As Main Economic Driver. World Economics Episode 5
In this fifth episode of my video-blog, we discuss the mistake of believing GDP as the key driver of economic growth, as it is not difficult to inflate via debt. Continue reading The Mistakes of Using GDP As Main Economic Driver. World Economics Episode 5