Monday, December 25, 2017

Yellen: "This Time, It's Different"

Usually, those four words are spit into the wind. And usually, the result is the same:  "No, it's NOT!" and "Your face is wet!!!"

...economists are worried about one indicator that is often a harbinger of recession: the yield curve.

That curve is getting tight; the 2 year/10 year rate-spread is down to only 51 basis points.  So what does Ms. Yellen have to say?

..."There are good reasons to think that the relationship between the slope of the yield curve and the business cycle may have changed," Yellen said in her press conference last week....

Umhhnnnnn huh.  This time it's different. OK then.

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