Akin Oyedele, Business Insider, Global interest rate have only been this low 3 times since 1522, here. The bank balance sheets were probably smaller but the possibility of Net Interest Margin Optimization in 1522 or 1930 was partly bounded by the amount of paper and number 2 pencils. So even though the available M&A financing was competitive – it was not realistic to numerically optimize the balance sheet to drive the M&A activity. Luckily we fixed that in 2015.
Global bonds have been selling off.
As demand for them has waned and their prices fallen, yields have shot up.
Eurozone yields, notably the German 10-year bund, surged on Wednesday. It touched 0.79%, a roughly 1200% appreciation in just a few weeks.
US Treasury yields followed, with the benchmark 10-year note yielding as much as 2.25%, its highs for the year.
In a note Wednesday, Gluskin Sheff’s David Rosenberg takes a massive look back at yields. As in a 500-year look back.
“We have global bond yields going back to the 16th century and only in the 1570s and 1930s have yields been as low as they have been in recent months,” Rosenberg wrote.