Question

What is the current SHAPE of the Yield curve and why? I just need to the...

What is the current SHAPE of the Yield curve and why?

I just need to the shape and the reason.

Homework Answers

Answer #1

The current shape of yield curve is a flattened yield curve which is showing that the short-term Bond yields and the long-term Bond yields are almost offering the same rate of return and it is showing that the expectation of revival in the economy is taking place because the economy was expected to go into the recession because it was shown through a downward sloping yield curve, as it is a predictor of economy is recession but the economy is reviving and the yield curve is flattening for the current time.

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