Yet another recession warning just flashed red — a Treasury 'yield curve' just inverted for the first time since 2007

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Yet another recession warning just flashed red — a Treasury 'yield curve' just inverted for the first time since 2007
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A keenly watched measure of market sentiment on recession has just indicated that recession is increasingly on the cards.

It follows a Federal Reserve decision not to hike interest rates Wednesday which highlighted a the possibility of slower US growth in the coming year forecasting just oneA flat or negative yield curve suggests investors believe keeping your money in short-term bonds is more uncertain than bonds that pay off much later. If the long-term horizon looks riskier than the short-term one, it's a sign something's amiss in the economy.

Whether that means a recession is likely in the next few years depends on numerous factors, but it's a stark sign of things to come from a usually emphatic bellwether.

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