Why are Mario Draghi and the ECB now in denial about a risky German bond bubble? Late last week, the German 10-year bond suffered what’s being described as its ‘Freaky Friday’ when the yield fell to just 0.051 per cent. It was freaky because as Greece teetered on the brink of default there was a mad rush to the safety of German bonds. Bond yields there now look likely to head towards zero. We believe this is a warning sign. We now have a full-blown German bond-market bubble that is blowing hot air into an equity market bubble. Yet the European Central Bank and its President, Mario Draghi, seem to be in denial about these risks. (VIEW LINK)