Business cycle

SF Fed Blog Post on the Yield Curve

Thomas Mertens and I wrote a post for the SF Fed Post on the current shape of the yield curve. This shape is a little odd, to say the least: The conventional ten-year-minus-three-month spread has declined substantially over the last year, but is still positive. By contrast, the five-minus-one-year spread has turned negative. What to make of this? Read the post here: Did the Yield Curve Flip? Will the Economy Dip?