Increase in Inverted Sovereign Yield Curves Globally Means Slower Growth than Stock Market Anticipates
Increase in inverted Sovereign Yield Curves globally means slower growth than Stock Market anticipates. The U.S. stock market is priced for an earnings troth and then reaccelerating of growth later this year. But it is our opinion that the growth in the number of inverted sovereign treasury yield curves around the world is painting a much gloomier picture for a longer and deeper economic and stock market downturn. The chart below shows that more than 60% of the various yield curves are inverted, the most since 2007.