As expected, the Federal reserve raised interest rates .25 today. The most interesting market reaction I鈥檓 seeing currently is the spreads on the 2yr, 10yr & 30yr bonds.
When the 2yr raises much faster than the 10, & then the 10 raises faster than the 30 its a good time to pay attention. The reason being is the time value of these bonds should create higher yields for more years of commitment vs less, but they are doing the opposite.
The spread between the 10 & 30 has been tighter recently, but a lot of indicators suggest the long term trend is yield inversion. Which is a pretty good indicator of a recession on the horizon.
馃憜 Taken from 馃憞
https://finance.zacks.com/historical-yield-curve-inversion-return-correlation-11525.html
Just one more log on the out of control fire, that is US & global economics. Debt is historically hi, derivatives require scientific notation to even think about & the whole system is still being controlled by sociopathic billionaires, dead set on buying up more assets from the peasants after the next revaluation & all that debt comes to roost.
How much more many can they create to forestall the next crisis? Is it even possible? Will we see a debt jubilee soon or one more round of sociopathic leaders running up the tax payers credit card to enrich more at the top of the pyramid?
I know I鈥檓 ready to see some change.
END THE FED