Our website is made possible by displaying online advertisements to our visitors.

Please consider supporting us by disabling your ad blocker.
Sign in to follow this  
Followers 0
Fourth echelon

Is A Global Recession Coming? Bond Market Decline Has Investors Spooked

2 posts in this topic

There are signs of a decline in the bond market, and that spells bad news for the wider economy. The markets are a good predictor of the state of the overall economy, historically around six months ahead of what's to come. The decline, coupled with low oil prices, has analysts worried, but that doesn't necessarily mean it's all doom and gloom.

Fears are growing the decline in junk bonds could be a sign the economy is the worse for wear. A rise in the default rate is expected to reach 4.6 percent next year, higher than the 30-year average and the first time that average has been exceeded since 2009.

“In most high-default periods we’ve seen in the past, the rise in default rates precedes a recession,” Edward Altman, finance professor at New York University, told the Wall Street Journal.

http://www.ibtimes.com/global-recession-coming-bond-market-decline-has-investors-spooked-2213352

Share this post


Link to post
Share on other sites

The market has been dropping for 5 straight days. Where are all the MSM front page articles comparing this to 2008?

We've already been living in the recession.....next up....depression.

Share this post


Link to post
Share on other sites
Guest
You are commenting as a guest. If you have an account, please sign in.
Reply to this topic...

×   You have pasted content with formatting.   Restore formatting

×   Your link has been automatically embedded.   Display as a link instead

Sign in to follow this  
Followers 0

Our website is made possible by displaying online advertisements to our visitors.

Please consider supporting us by disabling your ad blocker.