ZH: And here comes the inflationary recession

ZERO HEDGE writes:

(By Phoenix Capital Research)

The Fed is now cornered courtesy of the coming inflationary recession.

Let’s start with the economy first.

The 2s-10s yield curve is just a 19.4 basis points away from inversion. The last FOUR times this yield curve inverted the U.S. experienced a recession soon after. I’ve identified that line on the chart below…

A recession is bad enough news because it means a bear market in stocks and most likely a crash. Here’s that same chart with the S&P 500 below it. Note what happened to stocks soon after the yield curve inversion hit (note that the 1990 market saw a 17% drop, but the chart doesn’t show it well)…

To read the full post and see the charts, please click here.