Question: 1. 1. Graph the current yield curve as discussed in class for September 18, 2018, and for September 1, 2006. Include yields for 1 month,
1. 1. Graph the current yield curve as discussed in class for September 18, 2018, and for September 1, 2006. Include yields for 1 month, 3 months, 6 months, 1 year, 2 years, 5 years, 10 years, 20 years, and 30 years.
You can find rates in the US. Treasuries at http://www.ustreas.gov/offices/domestic-finance/debt-management/interest-rate/yield.shtml
2. For both of those dates, what does the yield curve tell you about what the market expects to happen to short-term interest rates at various times over the next 30 years?
3 How would the yield curve change if the market suddenly expected higher interest rates?
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