Markets have been doing their best to digest all of this uncertainty over the looming government shutdown, labor market, and, you know, everything else.
Bond markets have been reacting to the news — the yield on the 10-year T-note has been falling over the last couple days.
The big signal that bond markets are sending us this week is that they’re a little nervous about what’s going on in Washington.
“You know, if we do get the shutdown, how long is that shutdown going to be?” said Chuck Tomes with Manulife Investment Management.
He said markets are concerned, in large part, because this potential shutdown could have a real impact on the broader economy.
“There’s different numbers that people have thrown out there, anywhere from, you know, 0.1 to 0.2 drag on quarterly GDP growth every week that the shutdown lasts,” he said.
Then there’s the likelihood that a shutdown will cause the government to withhold upcoming economic…
