Two recession indicators are on the verge of flashing as the unemployment rate ticks higher and the yield curve uninverts.
"With labor supply increasing, we're not sure the Sahm rule, even if it triggers, would really be indicative of a recession."
AdvertisementAdvertisementThere are two recession indicators that are on the verge of flashing, but even if they do flash stock market investors can rest easy.
Last month, the unemployment rate rose to 3.9%, up 50 basis points from its cycle low of 3.4% in April.
"That's why a small increase in the unemployment rate can be really bad news, because it keeps going," she explained.
Persons:
we're, —, Carson, Sonu Varghese, Sahm, Claudia Sahm, Varghese
Organizations:
Service, CNBC, Treasury