Monetary policymakers are often described as heading into “uncharted territory”. The latest example is the Bank of Japan’s decision to introduce a target for ten-year yields. You won’t find a precedent of this policy in recent history. But the territory is not totally uncharted: we saw something very similar in the USA roughly seventy years ago.
As Mecklenburg-Western Pomerania goes, so goes the USA. You've never heard of this saying? That may about to change. The AfD's success in the north-eastern corner of Germany is making me a lot more worried about the outcome of the US election and bodes well for Donald Trump's chances to win the race to the White House.