Negative yield curve: Difference between revisions

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imported>Doug Williamson
(Expand.)
imported>Doug Williamson
(Update - source - Association of Corporate Treasurers - email from Naresh Aggarwal 16 Feb 2022.)
 
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This means that prevailing market yields are lower for longer maturities.  
A negative yield curve is a situation where securities with short-term maturities attract higher interest rates and yields than those with longer-term maturities.  
 


Also known as a 'falling yield curve' or an 'inverse' or 'inverted' yield curve.
Also known as a 'falling yield curve' or an 'inverse' or 'inverted' yield curve.
It is so called because the term premium is negative.




== See also ==
== See also ==
* [[Flat yield curve]]
* [[Forward yield]]
* [[Forward yield]]
* [[Zero coupon yield]]
* [[Par yield]]
* [[Par yield]]
* [[Inverse yield curve]]
* [[Yield curve]]
* [[Falling yield curve]]
* [[Flat yield curve]]
* [[Positive yield curve]]
* [[Positive yield curve]]
* [[Rising yield curve]]
* [[Rising yield curve]]
* [[Term premium]]
* [[Yield curve]]
* [[Zero coupon yield]]
[[Category:The_business_context]]
[[Category:Investment]]
[[Category:Long_term_funding]]
[[Category:Identify_and_assess_risks]]
[[Category:Manage_risks]]
[[Category:Risk_frameworks]]
[[Category:Risk_reporting]]
[[Category:Cash_management]]
[[Category:Financial_products_and_markets]]
[[Category:Liquidity_management]]

Latest revision as of 14:55, 16 February 2022

A negative yield curve is a situation where securities with short-term maturities attract higher interest rates and yields than those with longer-term maturities.


Also known as a 'falling yield curve' or an 'inverse' or 'inverted' yield curve.

It is so called because the term premium is negative.


See also