Equity markets lurched lower but are coming back now after The Fed signaled a more hawkish expectation of two more rate-hikes in 2018. The dollar spiked and while Treasury yields also jumped, the yield curve collapsed to new cycle lows…
One more rate hike and this is inverted!
Guggenheim’s Scott Minerd tweeted:
“The current shape of the U.S. yield curve is consistent with a recession in early 2020”