What is an inverted yield curve?

Dr Zhang Weina and Dr Ruth Tan, Senior Lecturer and Assoc Prof respectively from the Dept of Finance at NUS Business School explained that an inverted yield curve refers to a yield curve that has lower interest rates in the long end of the curve than in the short end. The most frequently quoted yield curves are based on government bonds and they are useful for benchmarking and for inferring the future state of the economy.

• The Sunday Times, 8 September 2019, Invest, pB11