Last week, the Bank of Japan added to its monetary easing arsenal by becoming the latest country to enact negative interest rates. Investors and savers in Nordic countries have already become familiar with negative interest. Just ask the Danes and the Swedes.
The problem with negative interest rates is that, in addition to punishing savers, central banks that engage in such a move are seen as desperate and out of ideas for effective monetary. Additionally, negative interest rates are no guarantee of equity market success. For instance, look at the iShares MSCI Sweden Index (ETF) (NYSE: EWD). Down 9.6 percent year-to-date, the lone Sweden exchange-traded fund is lagging the iShares S&P Europe 350 Index (ETF) (NYSE: IEV) by 150 basis ...
/www.benzinga.com/trading-ideas/long-ideas/16/02/6205162/monetary-policy-could-make-this-etf-a-swedish-meatball alt=Monetary Policy Could Make This ETF A Swedish Meatball>Full story available on Benzinga.com
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