Bond market’s response to economic downturn
The stock market is reaching new heights, but the bond market seems to be singing a different tune. The question arises whether the bond market is signaling an impending recession. Historically, bonds have been known to react to weakening economic data long before stocks do. This article will delve into the recent economic data and the bond market’s response to it. Recent economic data and the bond market’s responseIn the third quarter, the economy experienced staggering growth, followed by solid growth in the fourth quarter. However, the first quarter saw a significant drop in economic growth...