The financial markets are clearly spooked, as the Dow Jones Industrial Average has been in sharp retreat over the last few days. Stephen Colbert realizes the seriousness of the situation, and gave his “condolences to the entire Jones family. Our economy will be missed.”
So why the sudden panic? The bond market flashed a warning signal that has an eerily accurate track record for predicting a recession. It’s called an inverted yield curve.
“Do you have any idea what that means?” said a seemingly panicked Colbert. “If so, would you please tell me?”
Colbert allowed that he’d been watching the news all day, and still doesn’t understand all of the charts and graphs being flashed on screen.
However, the images add up to one thing, and “it’s not pretty, folks.” Watch the video to see the conclusion.