17 trillion dollars are invested at negative interest rates today. Surely, much of that is smart money. Why would anyone pay a bank to save money instead of receiving interest?
In 1935, Gerald Loeb stated: “Indeed, should some super-solvent agency agree to preserve the buying power of capital for a substantial length of time at a stated fee per annum, informed people would embrace the plan enthusiastically.”
Savers in Venezuela, Ecuador, Argentina, Iran, Turkey — the list is long, are much better off paying a small fee, a negative interest rate, to protect savings from hyperinflation.
It is not an indicator of problems in the rest of the world.