What's moving markets today: Live updates - CNN

The yield curve has inverted, which has historically been "very telling and dangerous," Wharton finance professor Jeremy Siegel told CNN Business anchor Richard Quest on the "Markets Now" live show.

"We are having this slowdown and tremendous uncertainty," he said. "That's not a recipe for taking risk."

Siegel noted that the economy is mature -- in the late stages of growth.

"That's when it becomes risky. You put something like tariffs down, and you're going to tip it over into recession," he predicted.

But Siegel says the stock market will remain relatively resilient. Stocks are trading at just 17 times earnings, which is not unreasonable in a low-interest-rate environment. So the worst that could happen is a bear market -- stocks will fall 20%, he believes.

He predicts perhaps a market correction -- when stocks are down 10% -- is in order. But nothing like the dive of 40% or more during the Great Recession.

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https://www.cnn.com/business/live-news/stock-market-news-today-060519/index.html

2019-06-05 18:09:00Z
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