Tag Archives: inverts

Huge sell-off rocks Treasury markets, yield curve inverts

Huge sell-off rocks Treasury markets, yield curve inverts

By Yoruk Bahceli and Sujata Rao (Reuters) -U.S. two-year Treasury yields rose above 10-year borrowing costs on Monday – the so-called curve inversion that often heralds economic recession – on expectations interest rates may rise faster and further than anticipated. Fears the U.S. Federal Reserve could opt for an even larger rate hike than anticipated this week to contain inflation sent two-year yields to their highest levels since 2007. But a view is also playing out that aggressive rate hikes… Source link

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Recession warning sign flashes as yield curve inverts

Recession warning sign flashes as yield curve inverts

The market’s most closely watched part of the yield curve inverted Friday, and if its record over the last half-century is any indicator, the U.S. could be headed for a recession soon. But others say the Federal Reserve’s unprecedented firefight with high inflation makes this yield curve inversion different from those of decades’ past. On Friday, the yield on the 10-year U.S. Treasury bond ended the day at 2.38%, 6 basis points below the 2-year U.S. Treasury yield of 2.44%. This… Source link

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