The yield on the benchmark 10-year Treasury note broke below the 2-year rate early Wednesday, an odd bond market phenomenon that has been a reliable, albeit early, indicator for economic recessions. The yield on U.S. 30-year bond fell to an all-time low, dropping past its prior record notched in summer 2016.
The moves show increasing worries about the global economy as investors rush into safe havens.
Early Wednesday, the yield on the benchmark 10-year Treasury note was at 1.623%, below the 2-year yield at 1.634%. In practice, it means that investors are better compensated for loaning the U.S. over two years than they are for loaning for 10 years.
The last inversion of this part of the yield curve was in December 2005, two years before a recession brought on by the financial crisis hit
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