Monday, January 9, 2012

Investors Pay Germany For Bonds



Germany sells six-month bonds at negative yields

(BBC)  Investors are flocking to havens to store their cash, amid continuing worries about the eurozone debt crisis.

Germany sold 3.9bn euros (£3.2bn) of six-month bonds at an average yield of -0.0122%, the first auction with a negative yield.

That means investors are effectively willing to pay Germany for the privilege of lending to it.

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