How important is Bond Yield?
How important is Bond Yield?
Bond yield (bond yield) is different from the general interest rate in the market. because it can be adjusted up and down It depends on market interest rates at the time the bond is traded. That correlates with the Yield Curve (the bond yield curve) is a line that can show the relationship between the yield and the remaining maturity of bonds. that is constantly changing
3 types of yield curves
Normal curve : Found in normal situations or during strong economic times.
Inverted curve : Caused by people's economic concerns. Or there is a rapid increase in short-term interest rates. to support inflation or control bubbles
Flat curve : Occurs when the economy is fully grown. and prepare to enter a recession
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