GERMAN GOVERNMENT BOND MARKET FORETELLING THE EURO IS A DOOMED CURRENCY?

GERMAN GOVERNMENT BOND MARKET FORETELLING THE EURO IS A DOOMED CURRENCY

[link to sppfund.com]

German government bonds, long considered to be Europe’s ‘safest haven’ sovereign debt, are now trading at negative nominal interest rates. German bonds now carry a negative yield from -0.31% for a 3-month T-bill to a whopping -0.04% through 2022! That’s right, investors seeking safe haven within the troubled Eurozone are now willing to PAY the German Government to hold their money, for asy long as seven years, because they believe the Euro may soon bust.