The Bond Market's Been Saying This For Awhile Now, But No One Was Listening
- 5 years ago
Lately, there's been a lot hand-wringing about the stock market's malaise.
But according to Business Insider, bond investors have been sounding the alarm for quite some time.
The bond market is once again flashing a signal that has shown up before every recession since the 1970s.
The spreads between 2- and 10-year notes, as well as 2- and 5-year notes, fell towards their lowest levels since 2007.
The fall comes amid other signs that investors are worried about a slowdown in growth.
Economist David Rosenberg says the market's reaction to Fed Chair Jerome Powell's speech Wednesday underlined investors' fears.
But according to Business Insider, bond investors have been sounding the alarm for quite some time.
The bond market is once again flashing a signal that has shown up before every recession since the 1970s.
The spreads between 2- and 10-year notes, as well as 2- and 5-year notes, fell towards their lowest levels since 2007.
The fall comes amid other signs that investors are worried about a slowdown in growth.
Economist David Rosenberg says the market's reaction to Fed Chair Jerome Powell's speech Wednesday underlined investors' fears.