3M10

3M10, or 3 Month 10-Year Treasury Yield Spread, measures the difference in interest rates between 3-month U.S. Treasury bills and 10-year U.S. Treasury bonds. This financial indicator is significant as it helps investors gauge economic expectations. A positive spread suggests confidence in economic growth, while a negative spread (inversion) often signals potential recession, as it indicates that investors prefer longer-term bonds due to uncertainty about the future. Monitoring this spread can provide insights into market sentiment and expectations for interest rates and economic conditions.