The data is compounding that the United States has slipped into a recession.
GDP in the US declined by an annual rate of 0.9% in the second quarter, according to the Commerce Department.
The slump in growth marks the second quarter in a row that the US economy has contracted, but President Joe Biden maintains the economy is not in recession.
An inverted yield curve is often said to be one of the single best objective predictors of an economic recession.
Right now, the spreads on the US 3-month and 10-year Treasury yield curves are narrowing, and coming dangerously close to inverting.
The shape of the yield curve, which plots the return on all Treasury securities, is seen as an indicator of the future state of health of the economy.
On Wednesday last week, the US Federal Reserve raised its benchmark interest rate by 0.75% in a move to tame rampant inflation.
If the US has indeed plunged into a recession, the challenge for the US Federal Bank Governor will be what to do with rates.
To hike to fight inflation, or cut to stimulate growth?