[ad_1]
The ongoing trade between China and the United States has put a lot of weight on investors' minds. The risk is that tight-for-tariff warfare between the world's two largest economies can turn an economic downturn into a recession.
Gold and ultra-secure government bonds are iles of money. The 10-year Treasury Yield and the 30-year Treasury Yield begin to decline.
Tuesday, August 13th
The Dow is close to 400 points higher, with Nasdaq up 2% and S&P up 1.5%.
Wednesday, 14th Gust
10 year US Yield on Treasury bonds goes below the yield on US 2-year bonds, both staying around 1.58% in the late afternoon. When short-term rates are higher than long-term bond yields, which is known as a negative yield curve. 3 months US The Treasury is already in spring against 10 years.
Closing 800 points lower or 3% in the Dow increases day-to-day losses. The S&P 500 and the Nasdaq are closed by similar periods.
Despite all the bearish news, analysts still do not expect the US to see the continued strength of the economy this year. Enters the recession. Unemployment is historically low, consumer spending booms and the financial system is healthy.
William Foster, a leading US analyst at Capital, predicts that the U.S. The economy will avoid recession despite the warning signs of a yield curve inversion in 2019 and 2020. But it expects growth to slow down in the second half of this year in 2020.
Thursday 15th August
Friday August 16th
Dow ends 307 points higher or 1.2% higher. The S&P 500 rose 1.4% and the Nasdaq rose 1.7%. However, it was the third week of losses for the three largest indices.
US Shares rose after bond yields and Europe and China signaled plans for additional stimulus to boost their economy following the global trade war. China's National Development and Reform Commission says it will boost stimulus to support the country's economy and stabilize employment.
– CNN Business & # 39; s Victoria Cavalier, Matt Egan, David Goldman & Paul & Paul R. La Monica contributed to this report.
Source link