“World Running Out Of Positive-Yield Bonds”

In the wake of ECB’s €60 billion a month QE madness (see “QE already Working” Says IMF Lagarde; Ho-Hum Details Announced; Gold the Place to Be), one might be wondering what it may do to European bond yields.

German 10-Year Bond Yield

Since September of 2013, yield on the German 10-year bond has plunged from around 2% to 0.367%. 

ECB Risks German Bonds Mismatch Exceeding 100 Billion Euros 

With €720 billion annual asset purchases, a huge portion of the bonds the ECB buys will be German. 

Bloomberg explains ECB Risks German Bonds Mismatch Exceeding 100 Billion Euros.