Germany ‘teetering on edge of recession’; US yield curve inverts – business live

Economists urge Angela Merkel to boost spending as Germany suffers a 0.1% drop in GDP in April-June

  • Latest: US yield curve inverts in ‘flashing light’ warning
  • UK yield curve has also inverted – a worrying sign

Earlier:

  • Breaking: German GDP shrank 0.1% in April-June
  • Economists: Berlin should boost spending
  • German exports have fallen as trade wars bite

Bloomberg have written a handy explanation of what an inverted yield curve is, and why it matters – it’s online here.

It explains that:

In America, traders are waking up to the news that the US yield curve has inverted.

Wall Street is predicted to fall by around 1% when trading begins in two hours, as investors ponder whether the bond market is signalling a recession.

The shackles are off… #US yield curve inversion getting deeper. Stocks are tumbling, #SPX futures down by more than 1%. pic.twitter.com/KIIlg8fVDP

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Germany ‘teetering on edge of recession’; US yield curve inverts – business live