Buttonwood notes some shocking facts:
As Deutsche Bank points out in its long-term asset return study, the longest series of bond yield data is for the Netherlands dating back all the way to 1517. In June, those yields reached a record low. Not just any old record, then, but a 500-year nadir. In America, yields go back only to 1790 but they too have been at all-time lows.
In other words, the developed world's central banks have (a) failed to stimulate the economy and (b) created an environment in which saving essentially is pointless because returns have been so low for so long. Maybe it's time to try some new central bankers and some new ideas.
