“The #1 predictor of economic recessions” has been inverted for a full month now.
WHAT IS THE YIELD CURVE
The yield curve, as shown in the example above, is a graph that plots the relationship between interest rate yields and time lengths, specifically for bonds. In the graph above, you can see that there is a higher return for the longer lengths of time.
This is the way the yield curve is “supposed” to look in a healthy economy; higher returns are correlated…