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U.S. yield curve at flattest in 11 years

Published 12/03/2018, 11:53 AM
© Reuters.  U.S. yield curve at flattest in 11 years
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  • The U.S. yield curve is at its flattest since June 2007, with the spread between the 2-year and 10 year Treasury yields at 18 basis points Monday.
  • Spread between 12-month Treasury bill and 10-year note yields falls below 30 bps, the first time since fall of 2007.
  • Investors and analysts keep an eye on the yield curve because if the curve inverts--when short-term yields exceed longer duration note yields--it may predict an economic recession.
  • At midday trading, 2-year Treasury yield is up 2 bps at 2.811%, while the 10-year Treasury yield falls 3 bps to 2.998%, slipping below 3.0%--an 18.7 bp spread.
  • iShares 20+ Year Treasury Bond ETF (TLT +0.2%), iShares UltraShort 20+ Year Treasury ETF (TBT -0.4%).
  • Dollar index falls 0.2% to 96.92.
  • Previously: Stocks add to gains, closing out strongest week in seven years (Nov. 30)
  • Now read: Could Trump Help Boost TLT Higher?


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