Why Investors Are Obsessed With the Inverted Yield Curve

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Amid a shaky marketplace, investors are eyeing the yield curve for signs of economic stability. History shows that when the yield curve inverts, a recession may soon follow. Photo Composite: Stephanie Swart for The Wall Street Journal.

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42 COMMENTS

  3. "But if investors put more and more money in long term bonds, and if the Fed keeps raising rates, that could change." YES. It did change and here we are in 2024 with an inverted yield curve for more than 500 days. We gonna party like it's 1929. Then it's the soup line.

  9. Given the re-inverting yield curve and increased market volatility, I'm reevaluating my portfolios, and the outlook is concerning. How should I reallocate funds within my $1M portfolio to navigate the potential economic downturn?

  12. THIS used to be one of my most watched YT Fin channels… sadly, it's been a while since i visited it has been a very rough year… i am experiencing one of the toughest phases of my life… Lost a fortune lnvesting in emerging companies. Hopeful, for a turnaround.

  13. Well well well, funny enough now there’s videos on ohhh the yellows curve is crazy inverted but this time it’s a false signal…..

    I think I’m gonna go ahead and YOLO this one and withdraw my retirement accounts

    Michels burry made a 1.2B bet on the markets going down and that made me look I to the yield curve which is wildly inverted way more than all the ones mentioned in this video

  15. I find myself at a crossroads, uncertain whether to liquidate my $150,000 stock portfolio. I'm seeking advice on the best strategy to capitalize on this current market.

  17. To be honest, I'm not sure investing is a wise decision right now. Notice how often things fail. As I still have some time before retirement, I'm looking for a good investment strategy for my money, even though I've read books and articles by well-known investors, past and present. In order to generate passive income, I want to start building a solid and reliable portfolio.

  18. This is why the Fed needs to keep raising interest rates. I don't know why the "paused". Are they going slow so the economy doesn't crash before the 2024 election? Interest rates probably need to be close to 10% especially with all the government spending.

  20. Covid was the central planners greatest play ever to put off a recession and fill their, and asset owners pockets. Anyone with economic sense knew that at the end of 2019 / start of 2020, a huge recession was going to undo the gains of the 2010's quantitative easing experiment, and they couldn't let that happen, so they pushed Covid on us, which the media both helped create and continue. Only problem is recessions are a natural part of the cycle, and blowing the expansionary balloon more and more just makes the recession bigger. We're in for some fun.

  24. Understanding personal finances and investing will most likely lead to greater financial independence. By being knowledgeable about money and investing, individuals can make informed decisions about how to save, spend, and invest their money. A trader made over $350k in this recession influenced market

  26. Watching this now in March 2022, you were right Fed raised the rates and we are observing an inverted yield curve now. Brace for impact 😂

    Thank you for explanation!

  28. Bonds are secured by force. People are bonded and have no choice because the conditions of their bondage require the use of force, police force. All the evil in the world is caused by bonds. Bonded slaves are totally convinced they are 'free'. The conditions of the bonds require total control of the bonded so religion is the first link in the chain of bondage. When the yeaild becomes too low plagues and wars are used to increase debt so bonds become more valueable. Only slave talk about 'freedom' .

  38. Salut, demain vers la direction régionale de banque populaire du Maroc a but de régulariser notre situation avec cette banque concerne des transferts d'un montant de 5,1 milliards euros reçu sur notre compte bancaire de défferentes banking européens bce FMI et autres et que la banque populaire du Maroc a rein déclarée.
    Noureddine elhoussni

  39. I completely agree with your assessment of this situation. There are several factors involves and we have come to a point of no return. Real estate is dving Inflation is destroying the essence of our country. Food is becoming rare and more expensive. Fuel will soon become a choice over necessity because of the price. Jobs are being lost in record number. And the threat of another World War looms as a clear and present danger. We have a President who sweeps all this aside and continues to think all is rainbows and sunshine. This collapse will thin out the herd and last for a long long time

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