US10yrs-US03yrs : cautious territory

US Curve is pricing some kind of slowdown (specially due to higher inflation than expected)

As you can see the 10yrs US yields- 3yrs and close to 0.00%

Due i expect more escalation of Russian War, not just against Ukraine, also against Moldova and Georgia. The conflict will continue for many months causing a potential global recession.

Central banks may have to reduce interest rates increase steps (for example FED or ECB). ECB may have to increase rates just 25 bp but in 2023 not at the end of 2022.

Stay tuned.

I expect wild volatility over 50-70%

Regards,

Potential downside for SP500: 3,800 points april-may 2022
Harmonic Patternspotential_slowdownstagflationTrend AnalysisUSyieldyieldcurve

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