My crystal ball predicts the one year rates will be
4.180% today
4.320% in one years
2.870% in two years
5.300% in three years
2.410% in four years
If the yield curve is formed solely from expectations then the
two-year rate today must be:
the three-year rate today must be:
the four-year rate today must be:
and the five-year rate today must be:
Formula sheet
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