Where In The QE Have We Seen This Before?

A familiar pattern is repeating itself once again in global bond markets today. The German 10-year government bond yield, after recently falling to as low as 0.05%, has suddenly exploded higher. Just two months after the launch of QE by the last major holdout in the European Central Bank, German bund yields have gone from threatening to cross over into negative territory to levels that are now meaningfully higher than prior to the program. Does this mean that European QE is all of the sudden not working? Not at all, as this is just the latest in the lather, rinse, repeat pattern of how these futile QE programs filter their way through global capital markets.

Please click on the link to read more of my article on Seeking Alpha.

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