Business / Taxes / Negative Yield Curve: A negative, or inverted, yield curve results when the interest rate on short-term US Treasury issues is higher than the rate on on long-term Treasury bonds. You create the curve by plotting a graph with rate on the vertical axis and maturity date on the horizontal axis and connecting the dots. When the curve is negative the highest point is to the left. A positive yield curve — one that’s higher on the right — results when the yield on long-term bonds is higher than the yield on the short-term bills. A level curve results when the rates are essentially the same. In most periods, the yield curve is positive because investors demand more for tying up their money for a longer period. But there are times, such as when interest rates seem to be on the upswing, that the pattern is reversed and the yield curve is negative.
Negative Adjective Synonyms: contradictory, anti, contrary, dissenting, dissentious, disputing, disputatious, argumentative, adversarial, adversative, antagonistic, antipathetic, adverse, adversary
Yield Conjunction Synonyms: return, production, output, revenue, takings, gate, earnings, income, proceeds, profit, gain
Yield Adverb Synonyms: surrender, give up (the fight or struggle), give in, knuckle under, submit, cede, cry quits, throw in the towel or the sponge, capitulate, succumb, raise the white flag
Business / Finance / Yield Curve: Applies mainly to convertible securities. Difference in current yield between the convertible and the underlying common. MORE