A 3-D View of a Chart That Predicts The Economic Future: The Yield Curve

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By GREGOR AISCH and AMANDA COX In NY Times

The yield curve shows how much it costs the federal government to borrow money for a given amount of time, revealing the relationship between long- and short-term interest rates.

It is, inherently, a forecast for what the economy holds in the future — how much inflation there will be, for example, and how healthy growth will be over the years ahead — all embodied in the price of money today, tomorrow and many years from now.

  • Yield curve 101
  • Where we stand
  • Deep in the valley
  • Last time a puzzle
  • Long-term rates are low now, too
  • Yields in Germany are negative
  • A different shape in Japan

For the yield curve and details go to NY Times link

http://nyti.ms/1FPeYgM

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