Highlights
- Like the prospect of a recession, the recent yield curve normalization has Fin-Twit all a-buzz. Predictably, the chart showing how the market plunged after the last two rate cut cycles is making the rounds.
- While it is factually true that the market tanked after the last two easing cycles got underway, it is highly incomplete analysis, and therefore misleading. We fill in the missing parts in this CMI.
- As one can imagine, the stock market responds quite differently than GDP does to yield curve normalizations. . .
