August has turned out to be another month of milestones for bond markets as an e...
In early August, 30-year German and Dutch borrowing costs fell below 0%, bringing the two countries into a club of developed countries, whose entire sovereign bond yield curves pay negative yields. Finland now joined them.
The yield on a TIPS security essentially is the yield on a plain-vanilla Treasury bond, minus expected inflation. Given 10-year TIPs now yield minus 0.07%, it means the equivalent Treasury bond is paying less than the expected inflation rate.Jyske Bank this month became the first in Denmark to offer a negative rate on a mortgage, in effect paying customers 0.5% to borrow money for 10 years.
While rare, the move in Denmark is part of a broader trend in tumbling mortgage rates globally. Borrowing costs on U.S. 30-year and 15-year fixed-rate mortgages have fallen to their lowest since November 2016.There are some signs that investors’ willingness to hold negative-yielding debt is being sorely tested. Last week, Germany auctioned a 30-year government bond at negative yields. But the euro zone’s benchmark bond issuer sold just 824 million euros, versus a 2 billion-euro target.
Singapore Latest News, Singapore Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Euro at one-month low vs dollar; yuan set for worst month since 1994The euro plunged to a one-month low against the dollar on Friday, as investors l...
Read more »
Ed Sheeran Announces Bittersweet 18 Month Break From MusicIt kind of feels like, in a weird way, that you're breaking up with a girlfriend that you've been with for years, he said onstage on the final stop of his Divide tour.
Read more »
Are You Accidentally Paying $50 a Month to Rihanna?At Jezebel, we’ve long been into Rihanna’s Savage x Fenty lingerie line and her (sometimes imperfect) efforts to make the brand inclusive. But it turns out customers are fed up with a surprising fee lurking in the brand’s VIP membership, which many signed up for unknowingly.
Read more »
One of the best-performing staples stocks this month could get even hotterThe consumer staples sector has been in the express checkout lane this month, and the chart suggests one top performer could get even hotter.
Read more »
T-Mobile will let you test its network for a month before you switch
Read more »
Ed Sheeran Announces 18-Month Hiatus From MusicEd Sheeran announced a break from music during his performance in England. *puts 'Way To Break My Heart' on repeat for 18 months. 😢
Read more »