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Personal FinanceExplainerPast Article

Use a Curve Without Placing a Trade

The par yield curve is a public description of Treasury prices. You can read it without becoming a speculator.

By Ruth Hale, Personal Finance Columnist

New York1 min read

city buildings under blue sky during daytime
city buildings under blue sky during daytimePhoto by Shen Pan on Unsplash

The Treasury publishes a par yield curve on business days. Each point is a yield for a maturity. You can read it the way you read a posted price: this is what the market paid, that day, for that length of government debt.

You do not have to do anything with it. A household might look at the three-month yield and the ten-year yield to understand the difference between parking cash and locking money away. Looking is not a transaction. The column that turns every curve update into a command to buy has changed genres.

Any number read off the curve needs a maturity and a date, and comparing two points is simple subtraction. The rest of your financial life — the mortgage, the card, the paycheck — is not on that page, and it should not be implied by it.

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