by Matthew Kerkhoff
The conventional wisdom among fixed-income traders is that the bond market is smarter than the stock market when it comes to forecasting where the economy is headed.
Considering that many of the smartest stock traders agree with this notion, it’s always worth keeping a watchful eye on the fixed income markets.
When it comes to reading the debt markets, one of the most valuable things we can analyze is the shape of the yield curve. Back in 2013, I wrote an article explaining the importance of the yield curve, and what the shape of the yield curve implies for economic growth moving forward.