The yield on Dutch 10-year government bonds, which have been steadily heading towards zero, turned negative and touched a record low of -0.007%.
They have fallen about 30 basis points since the UK referendum on June 23, which saw British voters support the country’s exit from the European Union (EU) and stoked fresh uncertainty over the prospects for global growth and inflation.
The Netherlands now joins a growing number of countries where the yields on government bonds have fallen below zero. There are four other countries – Germany, Switzerland, Japan and Denmark – where 10-year rates have turned negative.
However, Goldman Sachs has recently become more positive on the outlook for bonds in the short term and upgraded the asset class to “neutral”, while warning that investors’ search for positive yield is spurring them to take on more risk despite growth concerns.
Most are ‘hugely optimistic’ that their business will succeed in the year ahead, according to Ricoh Europe.
A study of consumers across 20 countries found only three where more than half those surveyed trusted merchants’ ability to protect their data.
Companies have only a limited time to complete their preparations before the UK departs the EU, warns Marsh executive Mark Weil.
The bank and the International Financial Corporation are continuing the eight years old trade finance partnership with a further investment.