Yield Curve roses to -.45% as of this morning meaning more are seeking longer duration bonds vs short duration bonds.
The 10s-3month Yield Curve is at a -1.55%. Theses bond ratios are important because they are leading insight to what the economy and what markets are truly indicating, a flight to safety.
Yesterday report on US Consumption and Employment from ISM Services Slowing Report, slowing another -3.9 points to 51.2. Couple this with the Yield Curve negative numbers and the long duration bond yield falling lower, smart money is running to the hills.
By the way, did you know that the Federal Reserve has gone from making $90 billion a year in September 2022 to loosing $44 billion a year as of Wednesday, yesterday? That’s not good.
With all of the economic data and the Fed now loosing money, yet still on a mission to raise Fed Funds rates, I encourage those who haven’t subscribe to the paid version of this newsletter to do so. My full intermediate-term portfolio allocation is built to adjust to times like these. Couple this with Best of US Investors Platinum Swing Trading service, you will better informed and better equipped to handle the coming credit crisis.
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