The yield curve can offer valuable insights for investors. Based upon its slope at any given time, the curve provides investors with a useful tool for analysis of the economy, credit conditions, monetary policy, and the US Treasury market. An inverted yield curve has generally signaled restrictive monetary conditions, which often culminates in a recession. Conversely, a steep upward slope is indicative of expectations for strong economic growth, rising inflation, and looming policy rate hikes. The inverted yield curve of the past 32 months is a conundrum because it has occurred during a period of strong economic growth and accommodative monetary and credit conditions... READ MORE
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December 10, 2024
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