Economics
Inverted Yield Curve Is Waning as a Recession Gauge, BofA Says
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An inverted Treasury yield curve is no longer a reliable signal of recession, and what matters more is the level of the curve, Bank of America economists Ethan Harris and Aditya Bhave said in a note.
The Federal Reserve is flirting with inversion probably because policy makers recognize its waning predictive power in a low-yield global environment, the economists said.
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Inverted Yield Curve Is Waning as a Recession Gauge, BofA Says