1. Nominals are compressing lower (curve flattening)
What changed
Three Things that stand out:
1. Nominals are compressing lower (curve flattening)
2. Reals are compressing higher (restrictive)
3. Breakeven curve uninverted again but declining (risk in reals not nominals)
Implies to me if continues:
1. Long end most constructive for now
2. Real assets like gold and stocks stay pressured
3. Market will start trading for recession — via @effmkthype
Why it matters
Flattening nominals, restrictive reals, and declining breakevens signal disinflation and long-end opportunity.