Trying To Wrap My Brain Around Negative Bond Yields
I keep seeing all the headlines about negative bond yields and wonder why anyone would invest in such a financial instrument. Only thing I can come up with is if someone thought that for a longer term than the bond, yields would go even lower than on the bond and so this would be deflation protection, essentially. Am I missing something here? And isn't this essentially forecasting deflationary trends around the world (or at least in a lot of places)?
Thanks ... talk amongst yourselves.