inverted yield curve

(redirected from Inverted Yield Curves)
Also found in: Financial.
Related to Inverted Yield Curves: Flat Yield Curve, Normal Yield Curve

inverted yield curve

An unusual market condition in which long-term US Treasury bonds yield less than short-term US Treasury bonds. It is often regarded as an indicator of imminent recession.
References in periodicals archive ?
To understand why, we need to understand inverted yield curves, hear the nuances in what was possibly Janet Yellen's final testimony before Congress last week, and remember that the Fed doesn't have to raise rates to tighten monetary conditions.
Usually when the inverted yield curves starts to rear its head, the consensus of opinion is that it is conceivable that the US economy could be heading into a recession though, for the moment, the confluence of data doesn't necessarily point in that direction.
Historically, inverted yield curves have often preceded recessions.
These banks have successfully navigated a variety of different and sometimes difficult operating environments which have included everything from deteriorating credit quality to inverted yield curves and rising unemployment.