More on unions…
“When I refused to join a union, I was told by the union representative that I didn’t have a job in that particular factory.
“Instead of selling me on the benefits of joining the union, the union bullied me… Is this called the ‘land of the free’? Individual rights and liberties we hold sacred be damned by the bullying unions.”
And this dissenting opinion…
“Given the choice, I buy American. I drive Chevrolets and a Ford body RV. I own a John Deere tractor.
“While I am NOT a Socialist, I agree with a commentator who said a union member cannot even afford to buy a new pickup today even if he built it.
“Management needs to share the wealth. Henry Ford did when he hit success. Union or no union, ‘the workman is worthy of his wages’.
“Unions did not drive jobs offshore; management greed did.”
Your Rundown for Tuesday, Aug. 13, 2019:
We read this headline this morning at CNBC: “Main yield curve nearly inverted as 10-year yield tops 2-year rate by just 3 basis points.”
Wonks who live and die by charts are already on pins and needles because they believe the yield curve inversion’s a sign of R-E-C-E-S-S-I-O-N.
So we take a look at the inversion of the yield curve — when short-term, 2-yr U.S. treasury bonds are yielding more interest than long-term, 10-yr U.S. treasury bonds. (Again, it hasn’t happened yet but analysts are just… waiting for it.)
So what’s the likelihood we’re trudging into recession territory?
The months between the first yield curve inversion and the start of a recession vary widely but the average is 17 months. The two most recent inversions: Dec. 2018 and, then again, Mar. 2019.
While recession is top of mind for investors right now — particularly after last week’s selloff — it’s more important to have a solid financial plan in place rather than worry about recession indicators.
Market Rundown for Tues. August 13, 2019
S&P 500 futures are down 9 points to 2,871.25.
Oil’s down 50 cents to $54.43 per barrel.
Gold is up $16.50 per ounce to $1,533.70.
Bitcoin slides $165.65 to $11,219.69.
Have a good day. We’ll talk tomorrow.
For the Rundown,