Yield Curve Drama No Reason to Lose Your Mind, Stock Pickers Say
- Yes it’s worrisome, but it’s not like it snuck up on anyone
- Attributing ‘magic’ to any one indicator is a little misguided
Photographer: Spencer Platt/Getty Images
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An inverted yield curve may be a recession portent and evidence of generalized market chaos, but it’s no reason to cut and run in equities, was the near-unanimous view of professional equity managers.
While someone was obviously hitting sell Wednesday, sending the Dow Jones Industrial Average to its worst day of the year, it wasn’t these investors, who while trying to insulate their portfolios said they weren’t bailing. For the most part, fear of missing out continues to overpower fear of getting decimated.