What is a Yield Curve?

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  • Опубліковано 10 тра 2024
  • If you've been following what the Federal Reserve is doing with the interest rate, you have probably heard them talk about the yield curve. Marketplace Senior Editor Paddy Hirsch explains what the curve is and what happens if it gets flattened. #MarketplaceAPM #EconomicExplainers
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КОМЕНТАРІ • 43

  • @Williamjey
    @Williamjey 9 років тому +9

    Excellent explanation! Last second was really funny ;)

  • @legacyal3489
    @legacyal3489 7 місяців тому +1

    I absolutely enjoy the way he teaches it....thank you

  • @JamesBenet
    @JamesBenet 8 років тому

    Excellent explanation, let's hope things improve and get back to normal!

  • @abhinavitsmebellamy
    @abhinavitsmebellamy 4 роки тому +1

    Really well explained. Thanks!!

  • @JimBCameron
    @JimBCameron 8 років тому +6

    These are excellent explanations, since watching many of them I'm getting the impression there's a lot of drunk economists these day! :D

  • @xtinct2
    @xtinct2 12 років тому +1

    the double pen toss!!
    i didn't think that move was possible!!
    #epic

  • @raminkakar1639
    @raminkakar1639 9 років тому +3

    Many thanks!

  • @davidalen9279
    @davidalen9279 5 років тому +3

    good explanation.

  • @Pythons80
    @Pythons80 11 років тому +1

    Paddy, what's your opinion on Public Banking within a free-market system? That seems to me like an inevitability once the current financial system has run its course.

  • @HH-el8vp
    @HH-el8vp 2 роки тому

    Its amazing that videos from the stone age still hold up.

  • @etbu49
    @etbu49 10 років тому

    great video!!!

  • @aryandz1842
    @aryandz1842 10 років тому

    Can you do an introduction to "Bootstrapping" video please?

  • @dr.shafiqqaadrimdhba5985
    @dr.shafiqqaadrimdhba5985 3 роки тому +1

    The Y Vertical axis is YIELD, NOT PRICE. Confusing the 2 is horrible.

  • @etienneotto4153
    @etienneotto4153 4 роки тому +1

    Very often it’s leaving me very badly needing a drink 🤣

  • @halikdag
    @halikdag 11 років тому

    thanks

  • @mr.anderson9938
    @mr.anderson9938 4 роки тому +2

    Whoa, here we go again 🎉🎉

  • @talismaaniac
    @talismaaniac 8 років тому

    Till now, I used to think that flattening of the curve means the short & long interest rates coming closer. Here I find a new outlook.Thanks Paddy. Investopedia draws the flat curve as totally flat - a straight line parallel to the maturity axis. However, your explanation seems more plausible because even here, the short & long rates are coming closer, implying the curve is flattening, though not necessarily flat. So, probably a flat curve is different from a curve flattening. Do you think the same Paddy?

    • @bingbongthegong
      @bingbongthegong 8 років тому

      I know I'm late to this but I've bee under the same assumption.. How does this not tighten yields between short and long-term?

  • @stanv1897
    @stanv1897 10 років тому +2

    To visualize yield curves
    www.treasury.gov/resource-center/data-chart-center/interest-rates/Pages/Historic-Yield-Data-Visualization.aspx

  • @luckymyomo2531
    @luckymyomo2531 9 років тому

    awesome!!

  • @pawarvs
    @pawarvs 4 роки тому +1

    Well in one of your videos (bonds vs notes vs bills) I recollect you stating that bonds are generally long dated rather than notes. However in this video you state 30yr notes - are notes really so long dated ? Bit confused with the contradiction here.

    • @gbballpl
      @gbballpl 4 роки тому +4

      vp technically yes, but i think he just uses the terms interchangeably. He shouldn’t but when u put the duration, people will know what you’re talking about.

    • @pawarvs
      @pawarvs 4 роки тому

      @@gbballpl agreed may be that is the case.

  • @kraysibadass
    @kraysibadass 10 років тому

    wait wait, this isn't about compression and Mohr's graphs?

  • @Ector521
    @Ector521 12 років тому

    Bravo

  • @mireillelebeau2513
    @mireillelebeau2513 5 років тому +2

    Economy can be fun!!!

  • @dlenny3369
    @dlenny3369 3 роки тому

    Aug 2020 10 yields CLIMBING to .54%

  • @fububalla
    @fububalla 12 років тому

    Hey Paddy, nice work, the only problem or fallacy I see in your explanation about the yield curve in relation to banks is that banks don't have a great financial motive to loan because more than 80% of most major banks' profits are from trading (derivitive prop trading cds etc) You know, the things that wreck the markets/economy in the first place.
    Plus banks see the loans as not only not as profitable, but riskier given the job market and specific regs that went to far in the other direction

  • @kgtrains
    @kgtrains 12 років тому

    Fed is out of options, we need to restructure the tax code, close the loopholes for corperations, increase tarriffs and require companies that sell 90% in the US to hire 90% in the US.

  • @jeanmontiel4991
    @jeanmontiel4991 4 роки тому +1

    All I can say is I'm glad I'm not an alcoholic.!

  • @intenseintensity5295
    @intenseintensity5295 5 років тому

    wow ben is a beauty

  • @0musing
    @0musing 12 років тому

    Hey Buddy, nowadays, I am pretty much drunk 24x7, jusht woke up this morning to get myself a beer ..hic!
    Operation twist sounds like we need to apply torsion to Heli Ben's cojones and finally maybe the cervix as well!

  • @fakhrulparvez
    @fakhrulparvez 6 років тому

    with subtitle would be better

  • @NapuZupaN
    @NapuZupaN 10 років тому

    me too!
    ha!

  • @Usman-ml4ig
    @Usman-ml4ig 5 років тому

    What baloney! @1:38 'As maturity extends, you tend to have to pay more'..
    Really? Pay annually at a higher rate, you meant, surely, not that you 'pay more'!
    Yield curves can even be jumped or 'inverted'. So 'pay less as maturity rises'?
    You missed the critical point. It's the annual rate for different maturities, not paying more or less as it can show a dip too if future rates are expected to fall.

  • @Ds7nike
    @Ds7nike 5 років тому

    everyone pray for the cameraman who is suffering from parkinsons disease

  • @deemzje
    @deemzje 12 років тому

    I know little of economy. I don't want to know anything about economy, because it involves the concept of "making money with (just) money", at which point my eyes glaze over and I start drooling.
    Nevertheless, I enjoy your explanations very much, learning some things about economy, needing a drink.

  • @paulnovak833
    @paulnovak833 6 років тому +1

    Someone tell the cameraman to settle down

  • @Canadian789119
    @Canadian789119 4 роки тому

    Inversion.

  • @nitinbhalla3391
    @nitinbhalla3391 4 роки тому

    Worst cameraman in the world....still a nice explanatory video..