By Ben Morris
Maybe you've heard the warnings...
The last three times this happened, painful bear markets followed...
And it's teetering on the edge right now.
The warning we're talking about is an interest-rate "inversion" – a rare situation in which short-term interest rates are higher than long-term rates.
Today, we'll explain why an interest-rate inversion matters, both for the economy and the stock market. We'll show you how past inversions have correlated with stock market crashes. And we'll discuss what the current situation means for us as traders and investors now.
Let's jump right in...
The specific interest rates we're talking about today are on the two-year (short-term) and 10-year (long-term) U.S. Treasurys.