And Now Even German Bonds Are Losing Safe-Haven Status

It makes total sense… The German economy is in great shape, it would seem, but the country is increasingly being expected to bear the debts of the rest of the Eurozone, just like everyone else in Europe, it can’t print its own currency. So it stands to reason that German bunds wouldn’t be the safe-haven everyone assumes them to be.

And that’s exactly what analysts at Nomura are pointing out, via FT Alphaville.

Whereas in the past bund yields traded inversely to the beta of periphery spreads, now they’re not.


(via @dukestjournal)

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at

Tagged In

germany moneygame-us