The FRED:T10Y2Y spread is getting razor thin here. Historically you could have a "false alarm" as seen in 1998. Though I question how much of it is a false alarm, and how much it is a "BE ON THE LOOKOUT". From what can be gathered, this close to inversion is enough to get the binoculars out and look at the horizon, something is coming. We are sitting at about...
I can recall studying economic theories in college and not paying attention to yield curves, I was jazzed up on stocks ripping high and low. However these days I find myself concentrating on yield curves more so than ETFs and stocks. The yield inversion is a well known indicator for macro economic outlooks. The current spread is about 0.15. Just a week ago is was...