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Is the Flattening Yield Curve a Cause for Concern?

Karen Wallace, CFP® (karen.wallace@morningstar.com)

The yield curve started 2018 sort of flat. When the yield curve flattens, the spread between shorter-term bonds and bonds of longer maturities shrinks. This is often measured as the spread or difference between the yield on the 10-year Treasury and the 2-year Treasury.