Federal Reserve Bank of Chicago President Charles Evans participates in a moderated discussion in Zurich, Switzerland October 11, 2017. REUTERS/Arnd Wiegmann

FORT WAYNE, Ind. (Reuters) - A narrowing gap between long-term and short-term borrowing costs does not necessarily signal a coming recession, Federal Reserve Bank of Chicago President Charles Evans said on Friday.

It is “premature” to read such a signal into the flattening yield curve, he said, noting that long-term borrowing costs have been declining for a while, and that all other signals from economic data suggest a strong economy.