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  • Investors hear 3 words they fear: inverted yield curve

    2 monthes ago - By Chron

    NEW YORK - One of the most reliable warning signals for a recession just got a bit brighter.
    The signal is called the "yield curve," and it shows how the bond market is feeling about the U.S. economy's long-term prospects. On Tuesday the yield curve signaled caution and, along with worries about global trade and interest rates, it helped send the stock market to one of its worst days of the year.
    WHAT IS IT?
    The yield curve measures how much more in interest investors get for owning a long-term Treasury bond than a short-term one.
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