flat yield curve meaning
A graphic representation of the situation in which the yield from securities of the same credit rating is at the same levelwhatever their maturity date.
A yield curve in which there is little difference between short-term and long-term rates for bonds of the same credit quality. This type of yield curve is often seen during transitions between normal and inverted curves.
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- flat yield curve
- "I don't think a flat yield curve is sustainable ."
- The stage just before that is a flat yield curve, when the spreads narrow toward zero.
- "Greenspan thrives on a flat yield curve because it indicates low inflation, " he said.
- Continued heavy issuance will depend on a combination of sustained lower long-term rates and a flat yield curve.