There's a multitrillion-dollar black hole growing at the heart of the world's financial markets. Negative-yielding debt -- bonds worth less, not more, if held to maturity -- is spreading to more corners of the bond universe, destroying potential returns for investors and turning the system as we know it on its head. Now that it looks like sub-zero bonds are here to stay, there's even more hand-wringing about the effects for mom-and-pop savers, pensioners, investors, buyout firms and governments.
[...] Negative-yielding debt topped $13 trillion in June, having doubled since December, and now makes up around 25% of global debt. In Germany, 85% of the government bond market is under water. That means investors effectively pay the German government 0.2% for the privilege of buying its benchmark bonds; the government keeps 2 euros for every 1,000 euros borrowed over a period of 10 years. The U.S. is one of the few outliers, with none of its $16 trillion debt pile yielding less than zero, but across the world, strategists are warning that the problem may get worse.
(Score: 5, Interesting) by Anonymous Coward on Sunday July 14 2019, @12:00PM
So I get modded 'disagree'. How odd.
Bloomberg makes up all these crazy, wild accusations about China and Supermicro. Everyone involved, Apple, Amazon, says these accusations are 100% FALSE, *including* US Government departments, even at a time when the US is going crazy over "China spies!".
Bloomberg doubles down, has no proof, no sources, no anything, and still says it's all true.
Independent audits commence. Corps to "just dudes" search Supermicro motherboards for any hint. No one, anywhere, ever, finds anything.
But then everyone's like "Hey! Bloomberg is 100% legit!".
Then Bloomberg throws a story about Huawei having back doors in Vodafone's equipment. Except it's just telnet, it's not internet facing, and every piece of telecom equipment tends to have telnet for internal LAN use.
That's not a backdoor, although it may be configured wrongly as a default (eg, ON).. although this stuff was from 2012! Does Bloomberg retract, and stop claiming it's a back door put there to hack?
NO!
But then everyone's like "Hey! Bloomberg is 100% legit!"
And my post is modded 'disagree!".
Trusting Bloomberg for reporting is madness. They don't get tech, it seems.