Monday, December 19, 2022

Interest

Currently the three month treasury is at 4.27% and the 30 year is at 3.53%. When short term rates are lower than long term rates it is called an inverted yield curve. An inverted yield curve means interest rates have flipped on U.S. Treasurys with short-term bonds paying more than long-term bonds. It's generally regarded as a warning signs for the economy and the markets. A recession, if it comes at all, usually appears many months after a yield curve inversion.

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