A line showing the interest rates on government bonds of different lengths, from a few months to thirty years. It normally slopes upward; when short-term rates rise above long-term ones the curve is called inverted, which has often preceded economic slowdowns.
Lesson
Yield curve
A line showing the interest rates on government bonds of different lengths, from a few months to thirty years. It normally slopes upward; when short-term rates rise above long-term ones the curve is called inverted, which has often preceded economic slowdowns.