U.S./German 2-Year Yield Spread vs. U.S./Euro Foreign Exchange Rate This chart shows the Euro vs. US Dollar (EUR/USD) and how a wider U.S./German 2-year yield spread corresponds to a stronger US dollar. R² = 0.62 since 2005.
U.S. 10-Year/2-Year Yield Spread vs. Fed Funds Target Rate Interesting chart showing the U.S. 10Y-2Y yield curve steepness versus. the Fed funds target rate (inverted). Image: Credit Suisse
U.S. 10-Year/2-Year Yield Curve and Recession After the first Fed rate cut, a steepening of the U.S. 2-Year/10-Year spread could suggest a recession is coming. Image: UBS
U.S. Rates – 2-Year and 10-Year Treausry Yield Forecasts BofA forecasts the 10-year Treasury yield at 2.25% in Q1 2022. Image: BofA Global Research
2-Year Fed Funds Expectations vs. U.S. 10-Year Treasury Yields There is a positive correlation between the change in Fed funds expectations and the change in U.S. 10-year Treasury yields. Image: BofA Global Research
U.S. Yield Curve – Spread Between the 10-Year and 2-Year Treasuries A steepening yield curve suggests a stronger economic growth and rising inflation. Image: CNBC
U.S. Real Yield Curve and 2-Year/30-Year U.S. Real Yield Curve Economic stress remains as the U.S. real yield curve remains in negative territory. Image: Morgan Stanley Research
MSCI USA Cyclical Sectors-Defensive Sectors Spread USD Index vs. 2-Year/30-Year U.S. Treasury Yield Curve This chart suggests that cyclical outperformance of defensives tends to be correlated with the shape of the 2-year/30-year U.S. Treasury yield curve. Image: Morgan Stanley Research
Expected Fed Funds Rate, Negative Interest Rates and 2-Year Treasury Yield Negative U.S. yields are in sight, as Fed funds futures for June 2021 imply an expected negative rate of -0.03%. Image: Fidelity Investments
10-Year/2-Year Treasury Yield Curve Around First Fed Rate Cuts The chart shows that the 10-Year/2-Year Treasury yield curve usually steepens around the first Fed rate cut. Image: Ned Davis Research