What does the yield curve inversion really mean for investors?

Economic and investor implications

clock • 1 min read

Ed Smith, head of asset allocation research at Rathbones, looks at what can be salvaged as a result of the US yield curve being inverted.

Ed Smith, head of asset allocation research at Rathbones, looks at what can be salvaged as a result of the US yield curve being inverted. The difference between the 10-year US Treasury yield and the 3-month T-bill yield has turned negative, as has the difference between the 10-year bond and the 1-year bond (our favoured indicator). In other words, the yield curve has inverted.  What does that mean for the economy and, more importantly, for investors?

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