News Snapshot:
Higher returns in the short term than in the long term are considered abnormal and reinforce expectations of a slowdown in growth. The yield on US 2-year Treasury bonds on Tuesday exceeded the 10-year yield for the first time since 2019, inverting another slice of the Treasury curve and reinforcing the view that the A Federal Reserve rate increase could cause a recession. The reversal came as 2-year bond yields rose while 10-year bond yields fell, surpassing the 2.39% level. Prior to 2019, when the curve reversed in August during the US-China trade dispute, the last sustained reversal of the...
