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The European Central Bank (ECB) is showing its love of coffee by purchasing 21% of JAB Holdings Bond issue. Sitting through all those meetings requires something stronger than Perrier water.
What does JAB Holdings hold? Keurig-Green Mountain Coffee, Peet’s Coffee, Einstein Bros Bagels and Coffee, Caribou Coffee, Stumptown Coffee, Krispy Kreme Doughnuts and Coffee, Douwe Egbert’s Coffee, Gevalia Coffee, etc. In others words, a LOT of coffee.
Central banks purchasing corporate bonds is unusual and signals how bad things are in Europe. When the Central Banks try to keep coffee producers afloat.
Here is French President Francois Hollande wondering why the Germans gave him a barrel of salt fish instead of a Peet’s Latte.
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