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Steve
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Micro-Economics: If the Feds want to flatten the yield curve

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Micro-Economics:

If the Feds want to flatten the yield curve it should get treasury out of the long end bond market. What does this mean?

Hi,

 

This means that they need to start buying long term bonds to help push up the price of the bonds, and thus push down the long term interest rate, which will flatten the curve.

 

Please let me know if you have further questions.

 

 

thank you in advance.

 

Steve

 

 

Customer: replied 4 years ago.

Dear XXXXX,

 

Is the long term interest rate low interest rate.

Thanks Jane

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