This Tweet by Holger Zschaepitz, author of 'Schulden ohne Sühne?' a book on states' addictiveness to debt caught my eye.

Zschaepitz's Tweet inspired my lead chart.

The chart shows Germany's negative-yield bond market is inverted in 19 places.

The longer you borrow, the more money you collect because the ECB pays you to borrow.


On the 3-year bond, the ECB pays you 0.667% per year to borrow. If you borrow money for 3 months you collect an annualized 0.514% for borrowing.

Central Bank Sponsored Madness

Getting paid to borrow money, could not possibly happen in a free market.

Yet, it's now so extreme, the longer the borrow, the more you get paid.

This perversion is best viewed as central bank sponsored madness.

Mike "Mish" Shedlock

Monetary Madness: Inverted Negative Yields in Germany, Negative Rate Mortgages

Monetary madness hit new extremes. Mortgage rates are -0.5% in Denmark. In Germany, a negative-yield curve inverts.

Making Sense of 100-Yr Bonds yielding 0% and 30-Yr Bonds With Negative Yield

Over 50% of European gov't bonds have a negative yield. Globally there's $15 trillion in negative-yield debt.

Monetary Madness Won't Stop and Bond Yields Won't Bottom with First the Rate Cut

History suggests bond yields have much further to fall.

Number of Yield Curve Inversion Points Rises as the Long-Bond Yield Dives

The US Treasury 5-year yield is now inverted with 3, 2, and even the 1-year treasury yield.

"Financial Vandalism" of Low and Negative-Yield Bonds Wreck Pension Plans

Unnaturally Low and negative yield bond yields are wrecking pension plans.

US at the Top of the Heap: Global 10-Year Bond Yield Comparison

In a global comparison of 10-year government bonds, three countries have negative-yields and France is on the cusp.

Negative Yield Curves to Infinity and a Reader Question Regarding Fraud

The entire German yield curve is negative for 30 years. Japan is poised to join the club.

Japan’s Negative-Yield, Inverted Bond Market Close to Breaking Point

Japan’s dysfunctional bond market is not only inverted between three month and eight years, it also sports negative yields out to 10 years.

Zombification Perfected: Negative Yield Junk Bonds Take Hold in Europe

Expectations of further monetary stimulus depress yields. There are now 14 junk bonds in Europe with a negative yield.