Don’t Fight The Fed: Inverted Yield Curve Means Lower Future Inflation
The inverted yield curve is bearish short-term, but bullish long-term.
While inverted yield curves have always preceded recession, this time it might be a sign of easing inflation. The US has never entered a recession with 3.5% unemployment. Given the mixed signals from the yield curve, inflation, and employment, investors can use a barbell approach to protect the downside while leaving room for upside potential
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