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Recession Will Start by Feb. 3, 2020, Courtesy of the Fed

Jerome Powell and the central bank will send the U.S. economy hurtling into contraction mode no later than the winter after next. How can I be so sure of my claim? Well, one very reliable indicator is flashing red. In fact, it's so dependable that since 1980, it has predicted the advent of every recession, right around a year to 18 months ahead of time. And right now, it's approaching the critical level. See, the Fed's raising of short-term rates is causing the yield curve to flatten. From there, it's a short trip to outright inversion. Once it inverts, two-year Treasuries will yield more than 10-year Treasuries. Once that happens, a major peak in stocks - then a recession - is all but totally certain within the next year and a half. When that happens, the world's going to run for this uncommonly cheap insurance I know about - but you'll already be set up... Tags: The Fed To get full access to all Money Morning content, click here About Money Morning: Money Morning gives you access to a team of ten market experts with more than 250 years of combined investing experience – for free . Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors. Disclaimer: © 2018 Money Morning and Money Map Press. All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning. 16 W. Madison St. Baltimore, MD, 21201. The post Recession Will Start by Feb. 3, 2020, Courtesy of the Fed appeared first on Money Morning - We Make Investing Profitable .
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