{"id":73442,"date":"2023-08-28T09:27:03","date_gmt":"2023-08-28T03:57:03","guid":{"rendered":"https:\/\/www.oracleglobe.com\/?p=73442"},"modified":"2023-08-28T09:27:03","modified_gmt":"2023-08-28T03:57:03","slug":"us-treasury-yields-invert-again-raising-recession-concerns-for-investors","status":"publish","type":"post","link":"https:\/\/www.oracleglobe.com\/us-treasury-yields-invert-again-raising-recession-concerns-for-investors\/","title":{"rendered":"US Treasury Yields Invert Again, Raising Recession Concerns for Investors"},"content":{"rendered":"
The US Treasury Yields are inverting again after doing so in 2022. This has raised recession fears in the market and for a good reason. Whenever the USD Treasury Yield inverts, it usually means that short-term interest rates are higher than short-term ones. This usually makes it more costly for businesses to borrow, resulting in a recession. In essence, now that the yield curve has inverted, economic activity could slow down in the short to medium term.\u00a0<\/span><\/p>\n So, what should investors do under current circumstances? For starters, this could be a good time to learn <\/span>how to invest in bonds<\/span><\/a>. That\u2019s because, with high rates, investors can earn more from bonds, which is risk-free passive income. However, if events between 2022 and now are anything to go by, then there is always a chance that the yield curve could turn normal again quickly and hurt bond investors.\u00a0<\/span><\/p>\n <\/p>\n As such, before rushing into bonds for the high yields, it is important to know the other key pointers to a potential recession. If a few of them tick the box, then a recession is imminent, and a bond investment is the best decision.\u00a0<\/span><\/p>\n The key indicators of a potential recession, besides an inverted bond yield curve, are below.\u00a0<\/span><\/p>\nIncreased Volatility In the Stock Markets<\/span><\/h2>\n