FYI: Some investors may be freaked out over the recession signal being sent by bond market rates, but if history is a guide, there is still time to capture more gains in the stock market.
The so-called ‘yield curve inversion’ where the yield, or interest rate, on shorter term Treasury instruments — in this case the 3-month — rises above a longer-dated Treasury yield, or that of the 10-year note, is a classic recession indicator that is often correct. As analysts say, there haven’t been recessions without a curve inversion but on the other hand, not all curve inversions lead to recession.
Regards,
Ted A.K.A Night Owl
https://www.cnbc.com/2019/03/25/stocks-typically-outperform-for-a-long-time-even-when-the-bond-market-is-flashing-recession-signal.html
