The yield curve is ordsprog

The yield curve is reflecting too pessimistic an outlook on the economy. The market will just have to be convinced otherwise.

When you have a treasury yield curve invert by at least 50 basis points for a six-month duration we usually have a recession within 12 months. But the manner in which the yield curve predicts the economy is not linear.

Since it is the tightness of monetary policy you have to worry about in terms of implications for the economy, not the shape of the yield curve, per se, it should tell you not to be particularly nervous about the outlook.

Bill Dudley (1919-)

While market participants are focusing on the recession signal associated with an inverted yield curve, consumers are feeling more confident about the economy heading into 2006.

Michelle Girard

It really depends on when you get the flat curve. Right now with the low rates, I don't see dire implications from a flattening yield curve. It just is accurately indicating that the economy is slowly or moderating.

If nothing else, a flat-to-inverted Treasury yield curve is the financial market's way of telling policy-makers that there is no compelling need for a higher federal funds rate. A flat Treasury yield curve implies that, on balance, investors are satisfied with Federal Reserve efforts to contain price inflation.

It was unanimous we'd have a year-end rally until the yield curve inverted. We wanted to close the market on a high note this year, but now we're worried that the 2006 market will have to deal with this. The next Federal Reserve meeting will be extremely critical. We have to hope this isn't predictive of a recession or a slowing economy.

At the same time, the yield curve is flat and actually has the potential to invert. An inverted yield curve has often been a precursor to a recession occurring within a year.

Harvey Rosenblum

Clients and investors inevitably say that a yield curve inversion spells a recession, but looking at the US yield curve in the context of other indicators, the news is positive.

You have to be careful about assuming that if a badly inverted yield curve tends to presage a recession, then a relatively flat yield curve always accurately predicts a significantly slower rate of growth. Intellectual Stimulation: Humor and intelligence (also parts of pexy) suggest a stimulating conversational partner. Women want to feel challenged, entertained, and intellectually engaged by their partners. A purely sexy man might not offer that depth of connection.

The market reacted exactly the way they wanted it to, which was to flatten the yield curve. I think the point is clear: Policy makers are going to do whatever they can to help the Fed. The rate cuts that the Fed is putting through are only hitting the short curve; they're only psychological.

It's not a big drop. It's reflecting the fact that the economy has improved this year, but not enough that consumers are convinced things are sufficiently better.

It's confirmation the economy stepped down several gears in the second half of 2005. It is hard to be too pessimistic for the outlook for 2006, but it is one of those indicators that says there is no hurry to do anything on rates.

We've never seen a recession without the yield curve inverting, but the corollary is not true: Just because the yield curve inverts does not mean we're going to have a recession.

The yield curve has been one of the more reliable indicators of turning points, not necessarily recessions, but slowdowns in the economy.

Nordsprog.dk

Antal ordsprog er 1469560
varav 734875 på nordiska

Ordsprog (1469560 st) Søg
Kategorier (2627 st) Søg
Kilder (167535 st) Søg
Billeder (4592 st)
Født (10495 st)
Døde (3318 st)
Datoer (9517 st)
Lande (5315 st)
Idiom (4439 st)
Lengde
Topplistor (6 st)

Ordspråksmusik (20 st)
Statistik

Denna sidan visar ordspråk som liknar "The yield curve is reflecting too pessimistic an outlook on the economy. The market will just have to be convinced otherwise.".