ashliedanelle7998 ashliedanelle7998
  • 09-04-2022
  • Business
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Why does an inverted yield curve serve as a predictor of a recession?.

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Heather11123
Heather11123 Heather11123
  • 09-04-2022
An inverted curve reflects the bond market's expectation for the Fed to cut rates down the line. The Fed normally cuts rates in response to an economic downturn, hence why an inverted curve could be a recession signal.
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