The current economic expansion now more than 10 years old, long by historical standards, as well as signs of overleverage in the corporate sector, combined with geopolitical uncertainty, suggest the next recession is not far off. According to a new study by Bain & Company, Beyond the Downturn: Recession Strategies to Take the Lead, companies that were well prepared emerged victorious from previous crises. These companies managed to survive, controlling costs and at the same time reinvesting in growth.
Miguel Navascués | For some months we have been looking with concern at the spread of interest rates of US 10 minus 2 year bonds as an indicator of an ever closer recession. Indeed, this indicator has been moving towards zero, and if it goes negative – which seems to be the trend- it would signal the threshold of a recession. But I don’t think it is such a precise indicator.