By Ken Martin Published August 14, 2019 Stocks FOXBusiness Facebook Twitter Comments Print video The yield curve inversion not a recession signal yet? Crossmark Global Investments’ Victoria Fernandez on concerns about what the yield curve inversion signals about the economic outlook, the Federal Reserve and the state of the markets. U.S. equity futures are pointing to a major drop at the open as a known predictor of a forthcoming recession has entered the mix. Continue Reading Below Investors are also concerned about weakening economic data in Europe and Asia. Dow Industrial futures are pointing to anearly 400 point drop or 1.5 percent. S&P 500 futures are pointing to a fall of 1.4 percent when the market opens. Nasdaq futures are lower by more than 1.6 percent. MORE FROM FOXBUSINESS.COM RECESSION INDICATOR WITH PERFECT TRACK RECORD FLASHING RED THESE RETAIL CHAINS ARE GROWING, OFFSETTING OTHERS’ CLOSURES THE AVERAGE FOODIE SPENDS OVER $3K ON FANCY TREATS The yield curve is blaring a recession warning. The spread between the U.S. 2-year and 10-year yields on Wednesday turned negative for the first time since 2007. Such a development has occurred ahead of each and every U.S. recession of the last 50 years, sometimes leading by as much as 24 months. Advertisement The German economy shrank by 0.1 percent in the second quarter from the previous three-month period as global trade conflicts and troubles in the auto industry weighed on Europe’s largest economy. The major European markets are trading lower. Chinese factory output, retail spending and investment weakened in July, suggesting the… [Read full story]
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