The glossary

Decoded

Every specialist term used in a Meridian62 note, defined in one plain sentence. It grows with every release.

B

Backlog
Orders a company has received but has not yet delivered — its confirmed future work.
Basis point
One hundredth of one percent. If an interest rate rises from 4.00% to 4.25%, it has risen by 25 basis points.
From the Macro, Rates & FX desk
Book-to-bill
New orders divided by completed sales over the same period. Above 1 means orders are arriving faster than they are being completed.

E

Earnings
A company's profit over a period, usually reported every three months. 'Earnings season' is the few weeks when most large companies report at once.

G

Guidance
A company's own forecast of what it expects its sales or profits to be over the coming months, given to investors so they are not surprised later.

Y

Yield curve
A line showing the interest rate a government pays to borrow for different lengths of time, from a few months to thirty years. Its shape is read as a signal about the economy.
From the Macro, Rates & FX desk

Why a glossary

Nobody should need a finance degree to read the news.

Every desk lists the specialist terms it used, and the editors add them here with a definition an ordinary reader can use. If a word in a note still isn't clear, tell us — that is a mistake we want to fix.

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