U.S. Treasury Security

U.S. Treasury Security

A tradable debt security owed by the United States government for a certain stated period. Each note has a stated interest rate which is paid semi-annually. Because the United States is seen as a very low-risk borrower, many investors see Treasury security interest rates (especially 10-year Treasury notes) as indicative of the wider bond market. Normally, the interest rate decreases with greater demand for the securities and rises with lower demand. For example, in December 2008, 10-year interest rates were the lowest in history due to deteriorating economic conditions and the consequent desire of investors for low-risk investments. U.S. Treasury securities are sold in auctions, usually once every few weeks. They are secured by the full faith and credit of the United States government. They should not be confused with U.S. savings bonds, which are not tradable, or indirect government obligations, which are not issued by the U.S. government itself. See also: Yield, Bond, Treasury Bond, Treasury Bill, Treasury Note.
References in periodicals archive ?
The two largest negative contributions were made by the yield spread between the Merrill Lynch High-Yield Corporate Master II Index and the 10-year U.S. Treasury security (HighYield_CRS) and by the Chicago Board Options Exchange Market Volatility Index (VIX).
For the fifth consecutive week, the two largest positive contributions over the past year were made by the Merrill Lynch High-Yield Corporate Master II Index (Mlynch_HighYld_MasterII) and by the yield spread between that same index and the 10-year U.S. Treasury security (HighYield_CRS).
The Total Consideration paid in the Tender Offer for the Priority 2 Notes, Priority 3 Notes, Priority 4 Notes and Priority 5 Notes has been determined in the manner described in the Offer to Purchase by reference to a fixed spread over the yield to maturity of the applicable U.S. Treasury Security (the Reference Treasury Security ) and is set forth in the table below.
U.S. Treasury security price movements in Tokyo thus reflect new information that is subsequently incorporated in New York prices.
U.S. Treasury security price movements in London (from the New York close) therefore reflect new information that is later incorporated in New York prices.
She reports, "We go to some Internet sites for historical market information, such as U.S. treasury security prices or foreign-exchange prices.
to receive its current U.S. treasury security price feed, as well as information on money markets, zeros and agencies as they are released.
Under yield maintenance, borrowers typically pay the difference between the current interest rate on their loan and the yield on a U.S. Treasury security of comparable maturity, according to Gartenstein.
The Total Consideration and the Tender Offer Consideration for each series per $1,000 principal amount of Notes was determined by reference to the applicable fixed spread (the "Fixed Spread") specified for such series over the applicable yield (the "Reference Yield") based on the bid side price of the applicable reference U.S. Treasury Security (the "Reference U.S.
The fixed rate is usually quoted as a spread over the U.S. Treasury security of maturity equal to the term of the swap.

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