Canaccord Genuity’s Tony Dwyer believes investors should emphasize a different yield curve to predict the stock market’s direction.
"It measures the difference between what a banker lending institution gets its money at, what they have to pay, versus what they charge or invested at," the firm's chief market strategist told CNBC's"
" on Monday."We don't look for a recession because of that yield curve that's driving the lending is still very positive." Dwyer acknowledges the overall bond market is reflecting economic challenges — but not enough to spark a recession. "The fear is definitely there. Asia seems to be a mess with more lockdowns. Europe is heading toward a recession, if not in one because of the once in a generation ground war there," he said."The U.S. is being affected by higher rates. So, it certainly is slowing down."