The yield curve
A)relates rates for different maturities of assets.
B)for U.S.Treasury securities is the most commonly reported yield curve.
C)may change shape over time.
D)which is inverted does not last very long.
E)All of the options.

Question

Quizplus · Accepted Answer

All options are correct. The yield curve reflects the relationship between bond yields and their respective maturities. The U.S. Treasury yield curve is the most widely reported yield curve. The shape of the yield curve can change over time, indicating various market conditions. An inverted yield curve, where short-term rates are higher than long-term rates, has historically been a signal of an impending recession but is typically short-lived.

The Yield Curve