The bond market's famous recession gauge has been flashing for 18 months.
A downturn could be delayed for months after the yield curve first inverts, Paul Dietrich said.
Dietrich pointed to the inverted Treasury yield curve, a highly accurate recession gauge that flashes when the yield on the 2-year US Treasury surpasses the 10-year Treasury.
In the past, recessions have taken up to 28 months to officially start after being signaled by the yield curve and leading economic indicators, he noted.
Dietrich is among the more bearish forecasters on Wall Street, having warned investors of an impending recession for months.
Persons:
Paul Dietrich, —, Riley Wealth's, Dietrich, Stocks
Organizations:
Service, Treasury