No need to panic, the 10-year, 2-year treasuries spread was bound to invert eventually. But why did the Fed wait until after 2016 to hike rates?
http://dailytorch.com/2019/08/no-need-to-panic-the-10-year-2-year-treasuries-spread-was-bound-to-invert-eventually-but-why-did-the-fed-wait-until-after-2016-to-hike-rates/
The 10-year, 2-year treasuries spread was bound to invert eventually. It’s been a full 12 years since the last inversion, after all, and a full 10 years since the last recession. Is anyone really surprised? The economy is not a perpetual motion machine. Every recession is different, and the next one may not even hit until after the 2020 election is all over with. We’ll see. We’ve been here before, and we’ll survive it. But with talk of negative interest rates or policies like universal basic income in the wake of the next downturn, what we need to make certain of is that liberty, limited government and capitalism survive, as well. What do you think?
