As WSJ reports Banks now owe money on loans....savers
pay the bank to deposit their money & banks pay borrowers
to take out a loan...........This is obviously proof the system
has fully recovered Joe.......central bank rates at 500 year
lows & the more money you borrow,the more the bank
pays you..........
"And just like that, first in Denmark, and soon everywhere else in Europe, a situation has now emerged where savers who pay the bank to hold their cash courtesy of negative deposit rates, are directly funding the negative interest rate paid to those who wish to take out debt. In fact, the more debt the greater the saver-subsidized windfall.
That would turn out to prove rather prescient because as WSJ reports, this bizarre characteristic of the new paranormal is spreading throughout Europe on the back of Mario Draghi’s trillion-euro adventure in debt monetization land.
Tumbling interest rates in Europe have put some banks in an inconceivable position: owing money on loans to borrowers."
| 
