UST Curve Now Highly Suggestive of Imminent Recession, Gundlach Says
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The recent performance of the US Treasuries yield curve is “highly suggestive of imminent recession,” according to DoubleLine Capital LP Chief Investment Officer Jeffrey Gundlach.
Two-year Treasury yields slumped as much as 24 basis points on Monday amid bets that the Federal Reserve will scale back interest-rate hikes. That sent the yield curve climbing 16 basis points, the most since March 2020. Short-end yields had jumped to the highest level since 2007 last week.