Are Bonds Suggesting the Economy Will Get Much Worse?
April 09, 2009 at 20:52 PM EDT
New research shows corporate bonds have been far better at predicting where the economy is headed than anyone thought…In the fall of 2007…. corporate-bond prices were signaling all was not well. .. In a forthcoming paper in the Journal of Monetary Economics economists Simon Gilchrist and Vladimir Yankov at Boston University, and Egon Zakrajsek at the Federal [...]