Could anyone explain why

spread tightens, interest rate will go up?

spread widens, interest rate will go down?

Could anyone explain why

spread tightens, interest rate will go up?

spread widens, interest rate will go down?

are u sure those statements are correct?

spread = (x - y)

x = rate on bond, y=rate on treasury of same maturity.

if y is constant - that means rate on bond went down. (so spread would tighten). it also meant that the bond price went up.

if y is constant, spread tighten, means bond yield decreased, and bond price went up, so interest rate go down?

isn’t that what I wrote …

thanks a lot