Inverted yield curve

inverted yield curve
unusual situation where short-term interest rates are higher than long-term rates. Normally, lenders receive a higher yield when committing their money for a longer period of time; this situation is called a positive yield curve .

Inverted Yield Curve
Usually a chart showing long-term debt instruments that have lower yields than short-term debt instruments. It is sometimes referred to as a negative yield curve.

Inverted Yield Curve
This is an unusual situation in the economy where short-term interest rates are higher than long-term rates.

Inverted yield curves forecast recession. (Photo: Scott Olsen / Getty Images) ...

An inverted yield curve is one where the most long-term rate is not highest. A completely inverted yield curve has the short-term rate highest; a humped or partially inverted yield curve has some intermediate rate highest.

An inverted yield curve may reflect a glut of short-term paper, which pushes down prices and pushes up yields, or of a shortage of long-term bonds, which pushes up prices and pushes down yields.

INVERTED YIELD CURVE - Is the market condition whereby the near-term interest rates are higher than lon...
INVESTEE - the legal entity into which an investor has made an equity investment.

Inverted Yield Curve
A situation where the yields on short-term instruments are higher than those on long-term securities. This is a reversal of the traditional ...(Read more)
Investment ...

INVERTED YIELD CURVE " The curve formed when plotting yield vs. maturity during a period when short-term yields (interest rates) are higher than long-term yields. This occurs during periods of tight money and tight credit.

Inverted yield curve
When short-term interest rates are higher than long-term rates. Antithesis of positive yield curve.
Investment
The creation of more money through the use of capital.

inverted yield curve: A rare occurrence during which short-term rates are higher than long-term rates.
investment: Property acquired and held for future income or appreciation.

Inverted yield curve
An inverted yield curve occurs when long-term yields fall below short-term yields.

inverted yield curve: in this case short term bonds have higher yields than the longer ones. It’s a less frequent scenario and sometimes it tells us that a relevant economic change is going to happen (e.g., depression).

The inverted yield curve of a debt instrument, a downward slope on the yield- maturity graph, reflects the fact that investments in this instrument (for shorter periods) are more profitable, that is, ...

The Impact Of An Inverted Yield Curve
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Yield Curve ...

If management is concerned about the effect of an inverted yield curve or a breakdown in a specific correlation, a scenario can be constructed specifically to assess that eventuality. Stress testing can also be systematized.

If this trend continues and the short-term interest rates become higher than long-term interest rates, then we would have an inverted yield curve. Unfortunately inverted yield curves are known to be highly predicative of recessions.

A yield curve that is downward sloping is called an inverted yield curve.

The suggestion here is that of an inverted yield curve (due to depressed market conditions) in the near-term with short-run securities (equities) carrying a higher risk and investors preferring longer-term exposure.

A serial bond offering whose bonds with earlier maturity dates have higher yields than bonds with later maturity dates.
Inverted yield curve ...

A yield curve depicting the less common occurrence of short-term rates higher than long-term rates is called a downward sloping, negatively sloped, or inverted yield curve.

INVERTED YIELD CURVE The economic condition were the yield on short-term treasury issues is greater then the yield on long-term securities. In theory, this scenario could lead to further declines in interest rates and possible recession.

inverted yield curve An uncommon situation in which long-term interest rates have lower yields than... invest To engage in any activity in which money is put at risk for the purpose of making... invested capital See capitalization.

See also: Yield curve, Banks, Saving, Bills, Expense