• Meanwhile in markets, the much-hated bear market rally keeps on going while the now persistent US Treasury yield curve inversion signals it will take a while before we have an acute shortfall of demand on our hands.
  • US Treasury yields were flat in Asian trading, with the 2y10y spread at a negative 24bps. That spread has been inverted for 24 days, which compares with a minimum of 185 days before the last recession that was preceded by a yield curve inversion that was the result of Fed over-tightening. Fed funds futures suggests there are 100bps of Fed hikes left for the year.


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