An inverted yield curve is one:

Group of answer choices

[A] with a hump in the middle

[B] constructed by using convertible bonds

[C] that is relatively flat

[D] that plots the inverse relationship between bond prices and bond yields

[E] that slopes downward

A movement of the yield curve in which the short and long term bonds increase by 100 bps and 75 bps respectively, but the intermediate maturity bonds increase by 10 bps is best described as involving a change in:

Group of answer choices

[A] level only

[B] curvature only

[C] level and curvature

[D] temperature level

From your understanding of the level and structure of interest rates, the least common yield curve change is:

Group of answer choices

[A] twisted

[B] curled

[C] inverted

[D] a parallel shift upward

[E] a parallel shift rightward

A term structure of interest rates is

Group of answer choices

[A] the relationship between the rates of interest on all securities

[B] the relationship between the interest rate on a security and its time to maturity

[C] the relationship between the yield on a bond and its default rate

[D] all of the above

[E] none of the above