Comments on: A Look at the Yield Curve at Market Tops and Bottoms http://blog.afraidtotrade.com/a-look-at-the-yield-curve-at-market-tops-and-bottoms/ Helping traders overcome fears and emotions in trading Thu, 09 Feb 2012 14:53:15 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: Using Yield Curve To Gauge The Economy Cycle http://blog.afraidtotrade.com/a-look-at-the-yield-curve-at-market-tops-and-bottoms/comment-page-1/#comment-213743 Using Yield Curve To Gauge The Economy Cycle Sun, 16 May 2010 14:10:41 +0000 http://blog.afraidtotrade.com/?p=5274#comment-213743 [...] Another blog that talks about using yield curve to time the market tops and bottoms (link) [...] [...] Another blog that talks about using yield curve to time the market tops and bottoms (link) [...]

]]> By: Bob http://blog.afraidtotrade.com/a-look-at-the-yield-curve-at-market-tops-and-bottoms/comment-page-1/#comment-212910 Bob Tue, 29 Dec 2009 01:47:39 +0000 http://blog.afraidtotrade.com/?p=5274#comment-212910 Interesting observations. I don't know how much significance one should now place on historic yield curve shapes as compared with current shapes. The Fed has taken extra ordinary measures to stimulate borrowing and as such the short end of the curve is at essentially zero. In addition, the U.S. Treasury has taken up the cause too; buying Treasuries and artificially hold longer term interest rates down; the effect is added liquidity and lower long term borrowing rates. Help for the troubled home refinancing sector of the economy. These actions are distorting the yield curve. Without such actions, we would certainly be seeing a flatter curve, if not inverted.<br><br>Also, one might argue,... with the yield curve so steep, the Fed now has some room to maneuver. A bump in short term interest rates would put the yield curve back into a more normalized shape. Interesting observations. I don't know how much significance one should now place on historic yield curve shapes as compared with current shapes. The Fed has taken extra ordinary measures to stimulate borrowing and as such the short end of the curve is at essentially zero. In addition, the U.S. Treasury has taken up the cause too; buying Treasuries and artificially hold longer term interest rates down; the effect is added liquidity and lower long term borrowing rates. Help for the troubled home refinancing sector of the economy. These actions are distorting the yield curve. Without such actions, we would certainly be seeing a flatter curve, if not inverted.

Also, one might argue,… with the yield curve so steep, the Fed now has some room to maneuver. A bump in short term interest rates would put the yield curve back into a more normalized shape.

]]> By: Bob http://blog.afraidtotrade.com/a-look-at-the-yield-curve-at-market-tops-and-bottoms/comment-page-1/#comment-211757 Bob Mon, 28 Dec 2009 19:47:39 +0000 http://blog.afraidtotrade.com/?p=5274#comment-211757 Interesting observations. I don't know how much significance one should now place on historic yield curve shapes as compared with current shapes. The Fed has taken extra ordinary measures to stimulate borrowing and as such the short end of the curve is at essentially zero. In addition, the U.S. Treasury has taken up the cause too; buying Treasuries and artificially hold longer term interest rates down; the effect is added liquidity and lower long term borrowing rates. Help for the troubled home refinancing sector of the economy. These actions are distorting the yield curve. Without such actions, we would certainly be seeing a flatter curve, if not inverted.<br><br>Also, one might argue,... with the yield curve so steep, the Fed now has some room to maneuver. A bump in short term interest rates would put the yield curve back into a more normalized shape. Interesting observations. I don't know how much significance one should now place on historic yield curve shapes as compared with current shapes. The Fed has taken extra ordinary measures to stimulate borrowing and as such the short end of the curve is at essentially zero. In addition, the U.S. Treasury has taken up the cause too; buying Treasuries and artificially hold longer term interest rates down; the effect is added liquidity and lower long term borrowing rates. Help for the troubled home refinancing sector of the economy. These actions are distorting the yield curve. Without such actions, we would certainly be seeing a flatter curve, if not inverted.

Also, one might argue,… with the yield curve so steep, the Fed now has some room to maneuver. A bump in short term interest rates would put the yield curve back into a more normalized shape.

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