When they (likely) increase the fed rate by 25-50 bps in Wed., it will represent the first time that this has occurred while the yield curve is inverted. This means that banks will not be motivated to lend due the inversion -and- what does get lent will occur at higher rates thus putting two forms of additional pressure on market liquidity.
When they (likely) increase the fed rate by 25-50 bps in Wed., it will represent the first time that this has occurred while the yield curve is inverted. This means that banks will not be motivated to lend due the inversion -and- what does get lent will occur at higher rates thus putting two forms of additional pressure on market liquidity.
Soon we will all need to make s choice of whether to help them rebuild their beast system or whether to build back better (see what I did there)
Src https://home.treasury.gov/resource-center/data-chart-center/interest-rates/TextView?type=daily_treasury_yield_curve&field_tdr_date_value_month=202203
I'm hedging my positions but I also expect more growth especially in commodities