Why Yield Curves Can Be Bull or Bear, Flat or Steep: QuickTake

Last year, the yield curve went mainstream as an economic indicator, as inversions of the curve sent chills down investors’ spines. That’s because inversions -- times when long-term interest rates are lower than shorter ones -- have often heralded recessions. Since then, we have indeed fallen into a recession, but one driven by the pandemic, an unforeseen factor. Now the yield curve is showing what else it can do. Currently, bear steepening has taken hold, driven by a tidal wave of monetary supp