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Meaning of “yield spread” in the English Dictionary

"yield spread" in Business English

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yield spreadnoun [C]

uk   us  
(also yield gap) FINANCE the difference between the ​rates of ​interest on two different ​types of ​share, ​bond, etc.: yield spread between sth and sth Demand has ​narrowed the ​yieldspread between high- and low-quality ​bonds. The ​positiveyieldgap between ​shares and ​index-linkedgilts has widened.
BANKING the difference between what ​bankspay to ​borrowmoney and what they ​charge for ​lending it: The ​yieldspread is an ​economically significant predictor of ​realeconomicactivity.
(Definition of yield spread from the Cambridge Business English Dictionary © Cambridge University Press)
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“yield spread” in Business English

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