NEW YORK, June 13 (Reuters) – Global stocks and government bonds plunged again on Monday and the dollar hit two-decade highs as red-hot U.S. inflation fuelled worries about even more aggressive policy tightening in a big week for central banks.
Underscoring concerns that tighter monetary conditions may cool the U.S. economy to the point of bringing on a recession, the gap between U.S. two- and 10-year Treasury yields inverted on Monday for the first time since April, an occurrence that can herald an economic contraction. read more
The latest sell-off is almost certain to push U.S. equities into a bear market, coming on the heels of Friday’s data that showed U.S. inflation accelerating more than expected in May.
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The figures unnerved investors and quashed bets that the Federal Reserve was gaining the upper hand in taming soaring prices. read more
“The Fed said it has got…