Monday US treasuries risk to broadly invert again due to the threat posed by the coronavirus. Previously, yield curve inversions preceded recessions, but that doesn't seem to be the case. According to Bloomberg, haven bonds represent more than half of the assets in havens, far greater than in comparison with the last global crisis. Now they might be an indicator on the worry of the investors to safeguard their assets during uncertain times and slowdown of the global economy as a whole. On the other hand, gold continues to gain, along with other precious metals, after the chief leader of the OMS declared that “We may only be seeing the tip of the iceberg,”, regarding the coronavirus cases. Economic previsions for the coming weeks are opaque.
Last time there were such fears on the global economy were on October 2019, under the threats of a broad tariff war between China and the United States.
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