DEFINITION of 'Bull Steepener'
A change in the yield curve caused by shortterm rates falling faster than longterm rates, resulting in a higher spread between the two rates.
Next Up
BREAKING DOWN 'Bull Steepener'
A steepener differs from a flattener in that a steepener widens the yield curve while a flattener causes longterm and shortterm rates to move closer together. When the yield curve is said to be a bull steepener it means that the higher spread is caused by the shortterm rates, not longterm rates.
RELATED TERMS

Bear Steepener
A widening of the yield curve caused by longterm rates increasing ... 
Yield Curve Risk
The risk of experiencing an adverse shift in market interest ... 
Bull Flattener
A yieldrate environment in which longterm rates are decreasing ... 
Bear Flattener
A yieldrate environment in which shortterm interest rates are ... 
Curve Steepener Trade
A strategy that uses derivatives to benefit from escalating yield ... 
Flat Yield Curve
A yield curve in which there is little difference between shortterm ...
Related Articles

Professionals
Yield Curve Risk
CFA Level 1  Yield Curve Risk. Learn how yield curve risk can affect your bond portfolio and how the various shifts in the yield curve relate to interestrate risk. 
Professionals
Yield Curves
CFA Level 1  Yield Curves. Learn how governments can influence short and longterm interest rates. Discusses the various shapes of yield curves and how they are formed. 
Bonds & Fixed Income
The Impact Of An Inverted Yield Curve
Find out what happens when shortterm interest rates exceed longterm rates. 
Investing Basics
Understanding the Inverted Yield Curve
An inverted yield curve occurs during the rare times when shortterm interest rates are higher than longterm interest rates. 
Professionals
Yield Curves
FINRA/NASAA Series 65: Section 8 Yield Curves. In this section normal, inverted and flat yield curves and yield spreads. 
Investing
Trade Bond ETFs Using Yield Curves
Different types of yield curves provide important insights for trading bondbased securities. 
Term
Understanding Interest Rates Inflation And The Bond Market
Interest rates, bond yields and inflation expectations are all correlated. 
Professionals
Yield Curve
Yield Curve 
Bonds & Fixed Income
Advanced Bond Concepts: Term Structure of Interest Rates
The term structure of interest rates, also known as the yield curve, is a very common bond valuation method. Constructed by graphing the yield to maturities and the respective maturity dates ... 
Fundamental Analysis
Understanding Term Structure of Interest Rates
The term structure of interest rates is a common method of valuing bonds.
RELATED FAQS

Why are the term structure of interest rates indicative of future interest rates?
Learn why economists believe the term structure for interest rates reflects investor expectations for future interest rates ... Read Answer >> 
How can the yield curve help me make investment decisions?
Learn about the yield curve, and discover why this chart is an important economic indicator. How do Treasury bond yields ... Read Answer >> 
What is the current yield curve and why is it important?
Understand what the current yield curve represents, and learn how market analysts commonly interpret various changes in the ... Read Answer >> 
What is the difference between term structure and a yield curve?
Understand the difference between the term structure of interest rates and a yield curve, if any. Learn what the yield curve ... Read Answer >> 
What does the yield curve actually predict?
Find out what an inverted yield curve represents, how it has performed as a leading indicator and why it appears to hold ... Read Answer >> 
What are the different formations of yield curves?
Find out more about the yield curve and yield curve formations, what yield curves measure and the three main types of yield ... Read Answer >>