Why This Chart May Spell Doom For The U.S. Economy

Deutsche Bank is particularly concerned about this chart, the US MPF FCI (United States Monetary Policy Forum Financial Conditions Index), because this chart typically is at these levels during a recession or right before one.

US MPF FCI

It has, in the past, predicted recessions. But it has also been wrong, notably in 1994, 1995, and 2003, according to Deutsche Bank. The longer the index is lower, however, the more likely it will have an impact on GDP.

And its impact on GDP tends to be magnified in times of great financial distress, according to DB.

FCI GDP

Certainly, something to be concerned about, or at least ponder.

Here are 19 signs the economy is worse than any other time in your life >

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