Thank you for sharing!

Your article was successfully shared with the contacts you provided.

Shlomi RonenThe yield curve inversion is at the top of everyone’s mind. As a precursor to the past several recessions, the yield curve inversion has become a telltale sign of an upcoming downturn. However, this time it could be different. Shlomi Ronen of Dekel Capital isn’t as concerned about the inversion, noting that this cycle has many unique characteristics. This could just be another one of them.

“We are in a world with negative long-term yields, which is something new. We are in a world where all of the major European yields are negative at this point. That is providing some pressure that is unrelated to the US economy to the long end of the yield curve,” Ronen, managing principal at Dekel Capital, tells GlobeSt.com. “We are also in a world where we have a very active Fed. Last week, they reduced short-term rates and there may be another rate reduction this year. That will again lower the short-term rates. Those two things, taken into context of the inversion are different this time.”

Kelsi Maree Borland

Kelsi Maree Borland is a freelance writer and editor living in Los Angeles whose work has appeared in such publications as Travel + Leisure, Angeleno and Los Angeles Magazine.

More from this author


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2019 ALM Media Properties, LLC. All Rights Reserved.