From Torsten Sløk:
40% of government bonds in Europe now trade with negative interest rates, see chart below. With this backdrop, it is not a surprise that US rates continue to stay low despite solid US economic fundamentals. Put differently, a very important driver of US rates continues to be the outlook for Europe and European rates. For more discussion of negative interest rates, see also our latest House View Infographic here.
Source: Torsten Sløk, Ph.D., Deutsche Bank