I know that the US Fed sets only the federal funds rate, which impacts only the shorter term treasury bonds. The longer term bond yields (ie 20, 30 years) are impacted by demand for those bonds. The more people that want it, the lower the yield. Currently, the yields are extremely low (compared to historic values). Does this mean that many people are buying these bonds? I thought the QE/bond buying from the fed only related to shorter timeframes? Where is the demand, and thus the low yield, for the 30 year treasury bond coming from?
To provide some context, I am asking this in relation to the current US stock market performance. I believe we are in a bubble, but because interest rates are so low, there is essentially no alternative to US equities to avoid cash devaluation. Because of this, I expect the bubble to continue, until rates rise and provide a non-stock market alternative investment. I plan to continue to monitor the bond rates. But I am getting confused as to why the long term rates are so low? Who the heck is buying those long term bonds at the moment?