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Shocking reasons these crucial indications are down so much. Way beyond 2008.

Eurodollar University

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The Inversion of the Near-Term Forward Spread

In 2007, the near term forward spread would have been roughly 75 basis points inverted early 2007 and then would actually turn positive like a lot of other spreads in June. That has dropped to minus 75 basis points right here in May, gotten worse since March, since Silicon Valley Bank. Now we saw something similar like this happen just a couple months ago. Remember the January jobs report early February? The retail sales, the CPI, all that came out in February acted in a very similar way to that middle period in 2007.

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