Negative Rates Make Corporate America's Bonds Only Game in Town
- Japanese, European bond investors increasingly look abroad
- Inflow of cash could help cut U.S. corporate borrowing costs
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Mario Draghi and Haruhiko Kuroda have handed a big gift to U.S. companies like Coca-Cola Co. and General Electric Co.: piles of money from European and Japanese investors.
Nearly $8 trillion of bonds globally have negative yields now, which has spurred fund managers from around the world to buy corporate debt in the U.S., where interest rates are positive.