Elvis Costello most certainly wasn’t talking about what global governments are paying investors to hold their debt in his 1977 hit song “Less Than Zero,” but in this postBrexit world, investors are hungry for a safe place to stash capital, which creates some interesting dynamics.
More than $13 trillion of negative yielding in sovereign global debt has been sold, according to a recent Wall Street Journal study.
David Bowie and Queen could have been referring to the current state of global markets in their 1981 “Under Pressure” collaboration.
With the collapse of oil prices and the devaluation of the Chinese yuan, global markets — and just about anything related to them — are under continuing pressure.
So far, commercial real estate in the United States has side stepped the meltdown.