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Yield Curve Inversion Deepening – What Are You Watching?
Watching the yield curve. The 2s10s spread is screaming inversion, and frankly, I'm getting a little more concerned than a few months back. We've had some significant moves in the longer end, and while short-term rates are still being dictated by Fed talk, the market seems to be pricing in a rougher landing. It's hard to ignore a persistent inversion like this, and it's making me really scrutinize the more cyclical plays on my watchlist. Any thoughts on where the break happens, or if it even has to break with current global dynamics? $Y is trading around 847.79, and that stability there seems... detached, given everything else.
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