Yield Curve

1. What is plotted on the yield curve? Be specific about the X and Y axes. Be specific about which securities' yields are plotted on a yield curve.
Answer:
U.S. Treasury Yield Curve
A yield curve that shows the relationship between yields and maturity dates for a set of similar bonds, usually Treasuries, at a given point in time. Yield curves are used to compare yields of different securities, to benchmark rates and to discover yield curve aberrations.
A yield curve is a chart that graphically depicts the yields of different maturity bonds of the same credit quality and type. Yield i…