Something extraordinary just happened: the Swiss government 50-year bond yield just dipped below zero at the start of trade in Europe.
This means every Swiss government bond now has a negative return.
The Swiss yield curve folks, behold this brave new world in its still developing glory: pic.twitter.com/xX3mRV84GM
— David Keohane (@DavidKeo) July 5, 2016
In other words, so negative is sentiment in some quarters that investors are willing to pay the Swiss government for up to 50 years to keep their money.
Well in excess of $US10 trillion around the world is now in fixed income assets with negative returns.