We got a lot of pushback, via email, to our CHART OF THE DAY yesterday, citing JPMorgan strategist Thomas J. Lee, who argued that a recession was likely not imminent due to the ongoing steepness of the yield curve.
The response: This is now a nonsense indicator since the Fed has manipulated it as much as it has.
That seems legitimate, though we also would point out that the Fed’s so-called manipulation hasn’t worked out as expected, i.e. rates have generally risen during periods of QE.
Anyway, have at it in the comments, or your thoughts via email:[email protected].