BILS - Interest Rate Cuts Are The Market Buzz But When?
2024-03-08 09:15:00 ET
Summary
- The current yield curve inversion has turned out to be the longest and deepest inversion in 50 years, lasting 18 months and several times hitting negative 100 basis points.
- The Fed's actions were in response to runaway inflation that turned out to be not as transitory as the Federal Reserve had hoped.
- The potential outcomes for rates are many – the Fed could cut rates in May, inflation could remain stubbornly high for months, this lengthy yield curve inversion era could continue throughout 2024.
Originally posted on March 06, 2024
By Jim Iuorio
At A Glance
- This current yield curve inversion has turned out to be the longest and deepest inversion in 50 years, lasting 18 months and several times hitting negative 100 basis points.
- Micro yield contracts are quoted in yield terms, which removes a good deal of the bond math that was needed to convert price to rate.