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The Wealth Paradox (EP.318)

Animal Spirits Podcast

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The Inverted Yield Curve Is Not a Recession Prediction

I think if we do get a soft landing, people are going to forget about the fact that they waited so long to raise rates the first time. Colin Rocha, disciplined funds had a good take on this. What does a yield curve tell us? And he said it's best to think of the inverted yield curves as a Fed funds rate prediction. This often correlates with rising recession risk and rising market risk but in and of itself, the yield Curve is not a recession predictor.

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