98. Reading The Yield Curve Like a Crystal Ball for the Economy

Ever hear someone say “the yield curve is inverted,” but have no idea what that means? Or people talking about the “10-year” yields and not knowing why that matters? Or what "bond prices and yields have an inverse relationship" means?? Saaaaammmeeee.

In this episode, we’re definitely getting a bit more advanced, but it’s important to grasp these concepts as best as you can, because it will really help you understand how the economy, monetary policy, and what’s happening in the world - really does affect how our money makes money. Today we are FULLY breaking down the yield curve—what it is, what moves it, and why it’s one of the most important signals in the entire market. 

We’ll explains how things like inflation, economic growth, government debt, and even global drama (yes, drama) can make yields rise or fall.

You’ll learn:

• What the yield curve actually shows us
• Why inflation expectations are everything
• How supply and demand for bonds move the market
• What the bond market thinks about the Fed
• Why geopolitics can send yields swinging in both directions

If you’ve ever wanted to understand bond yields without needing a finance degree, this one’s for you.