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Art Cashin: "Once You Go Negative Rates, It Becomes 'Alice In... "
I believe negative rates on treasury bills would represent another form of federal tax. Basically, a tax on principal. It would also be like an er (expense ratio, fee) like mutual funds charge, even when holding cash.
Japanese treasury has very low yield for several decades. That is one of the reason they are the largest or second largest holder of US treasury. It would be long US will follow suit as Alan Greenspan pointed out earlier this week.
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