Articles
What Does the Yield Curve Suggest About Growth?
Yield relates to the return on capital invested in a bond. When prices rise due to increased demand, yields fall and vice versa. The yield curve is a graph with the daily yields of U.S. Treasury securities plotted by maturity.
Inverted Yield Curves
An inverted yield curve occurs when the interest rates (yields, to be more specific) on short-term bonds are higher than the interest rates on long-term bonds. The specific trigger compares the 10 year treasury to the 2 year treasury.
Rising Rates: The Fed Takes Next Step Toward Normal
On December 14, the Federal Open Market Committee (FOMC) voted unanimously to raise the federal funds rate by 0.25% — to a range of 0.50% to 0.75%. This was the second increase since December 2008, when the benchmark rate was lowered to a near-zero level (0% to 0.25%) during the Great Recession.