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Stock market plunges as investors fear recession is on the way

posted 5 years ago by [deleted]
8 replies | jump to latest

The stock market plunged 800 points today, and investors are now fearing a recession is on the way.

The market took a dive after the 10-year Treasury bond yield fell below 1.6% Wednesday morning, dropping just below the yield of the 2-year Treasury bond. It's the first time since 2007 that 10-year bond yields fell below 2-year yields.

That means investors are nervous about the near-term prospects for the US economy. Wall Street is in a panic, because an inversion of the 2/10 curve has preceded every recession in modern history. In 2007, The Great Recession started nearly two years after the December 2005 yield-curve inversion.

[–] jimmyjuliano (223) 5 years ago

i'd talk about something like that if members of my party were cross-dressing pedophiles

[–] [deleted] 5 years ago

Well, you do have cross-dresser Ghouliani, and 'Roy Moore the pedophile' for starters.

So as talk host Julie Chen used to introduce her 'Talk' show: "Let's start talking!"

[–] slimone (7996) 5 years ago

Scary news! I hope it doesn't end of in another recession.

[–] [deleted] 5 years ago

They’re predicting it will be another 2007 recession.

[–] elcamino (15540) 5 years ago

Thast is like the drops we had in 2011,2012,and 2015. Next year it will go back up.

[–] [deleted] 5 years ago

More like the drops we had in 2007 as this one is due to the inversion of the 2/10 curve (which we had in 2005), which led to the Great Recession of 2008.

[–] LordBAElish (2015) 5 years ago

Trump will end his trade war with China and it will skyrocket back up. Even if he wants a trade war, he knows the stock market has to look good near election time. Of course the Fed will get involved and try to derail, like they have twice in the last year.

[–] [deleted] 5 years ago

And when it doesn't happen that way, and a recession wipes out the economy next year, you can always blame Pelosi, or Nadler, or Schiff, or even Hillary or Obama! And 'impartial' FOX News will run with it.