Yield curve
A chart of yields plotted against maturities (3 months, 2 years, 10 years, 30 years…). Normally it slopes upward: longer means more yield to compensate you for tying up money. When short rates exceed long rates, the curve "inverts", historically a strong recession signal.
The US 2-year vs 10-year curve inverted in mid-2022 and stayed inverted for over a year, the longest inversion since the 1980s.
Yield curve
This term appears in a longer lesson, where the idea gets the proper treatment with examples and a working visualization.
Read the lesson →Money in motion
Compound interest
Interest paid not just on what you put in, but on the interest you have already earned.
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The rate at which the general price of things rises. Same money, less purchasing power.
Read →Interest rate
The percentage something pays, or costs, per year.
Read →Return
The gain (or loss) on an investment, usually expressed as a percentage per year.
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