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I was discussing low interest rates, not negative. But usually in the US when we talk about a negative yield we're talking about a negative real yield not a ne
by projektfu 7y ago
I was discussing low interest rates, not negative. But usually in the US when we talk about a negative yield we're talking about a negative real yield not a negative nominal yield. There is a "zero lower bound". Perhaps an algorithm would buy a bond at a negative yield but probably not a person. Or, a central bank may purchase back bonds at negative yields to get the cash out there.
Europe is a different story, I don't know entirely how they run their monetary system.