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Why investors near retirement should fear the big yield curve inversion

Mitch Goldberg

The inversion rattled investors, as it typically has been a harbinger of recession. The big Treasury-rate inversion, between the two-year and 10-year, hasn't happened yet, but it looks close and would have a ripple effect through the U.S. economy. For sophisticated bond market investors, no three words invoke more fear and debate than "inverted yield curve." Yet many individual investors don't understand inversion and why a healthy fixed-income market is so critical to their financial well-being.