Former Fed chair Janet Yellen says yield curve could sign want to chop charges, not a recession
Yellen, who led the Fed between 2014 and 2018, was talking on the Credit score Suisse Asian Funding Convention in Hong Kong.
The yield curve inverted on March 22 for the primary time since mid-2007, a shift that has prior to now signaled the danger of recession. The slope regained its ascendancy in European buying and selling on March 25 after stronger-than-expected German information.
Charles Evans, a voting member of the Fed’s policy-setting Federal Open Market Committee, informed the identical convention on Marc h 25 that it was comprehensible for markets to be nervous when the yield curve flattened.