Hat-tip to Mankiw on this optimistic note: the TE
D spread is now below 1! I had been tracking TED but stopped before the holidays and at that time it was still above 200 basis points and appeared to be growing. This is good news though other measures of uncertainty and the like, for example
Barron's Confidence Index or the CitiGroup
"Panic"/"Euphoria" Investor Model indicate the situation is still bad from an end-user (consumer and business investor) perspective.... But could there be an uptrend?
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