While it may be one thing for the S&P 500 to fall 1.9% in one day as it did on Friday, it is quite another when it happens as bonds soar, the Treasury curve inverts and credit spreads widen. That combination was in full effect Friday and has put global investors on edge. So, does this signal the death of the 2019 stock market rally? In his Friday evening March 22nd broadcast, Bob Hoye from chartsandmarkets.com is watching for the next move in credit spreads for clues.
While stocks tumbled Friday, the 3 to 7-year Treasury ETF soared as the yield curve inverted
As is usual, the market historian looks at where we have been in order to narrow down the possibilities of what might happen next.
Company fundamental and
price data sourced from © Thomson Reuters Limited. All rights reserved. Republication or redistribution of
Thomson Reuters content, including by framing or similar means, is prohibited without the prior written consent
of Thomson Reuters. Thomson Reuters is not liable for any errors or delays in Thomson Reuters content, or for
any actions taken in reliance on such content. 'Thomson Reuters' and the Thomson Reuters logo are trademarks of
Thomson Reuters and its affiliated companies.