U.S. Treasury Bond

(redirected from US Treasury Bonds)

U.S. Treasury Bond

A debt security backed by the full faith and credit of the United States government with a maturity of more than 10 years. They may be purchased directly from the government or from a bank; they have coupon payments payable every six months. Treasury bonds may be bought competitively or non-competitively. In a non-competitive transaction, one takes the interest rate he/she is given on a T-bond. In competitive investing, one bids on a desired yield, but this does not mean it will be accepted. Treasury bonds are low-risk, low-return investments. The minimum purchase is $1,000 and the maximum is $5 million in non-competitive bidding or 35% of the offering in competitive. They are known informally as T-bonds. See also: Treasury bill, Treasury note.
References in periodicals archive ?
Last week, Aso expressed concern that debt ceiling could affect the global economy and decrease Japans huge investments in US Treasury bonds, urging Washington to swiftly resolve its current fiscal crisis.
During the last debt-ceiling crisis, S and P downgraded the US government credit rating from A to +, which impaired investor confidence in US Treasury bonds and Kali warned that current crisis could cause similar reaction.
Contributing to last year's contraction was a rally in US Treasury bonds, which benefited from safe-haven flows as Europe's debt crisis simmered, as well as central bank buying both at home and abroad.
Japan had been the largest holder of US Treasury bonds until September 2008, when it was overtaken by China.
81 per cent of its foreign exchange ( forex) reserves in US treasury bonds, according to data released recently by the US Department of Treasury.
Chinese mainland's purchase of US Treasury bonds fell for the first time in 11 months to $763.
It was rumoured that the US Federal Reserve's decision last week to buy USD300bn of US Treasury bonds would eventually stoke inflation, leading to a bear market for bonds.
The US Treasury and the New York Federal Reserve would "allow" the Saudi central bank, SAMA, to buy US Treasury bonds with Saudi petrodollars.
The Venezuelan risk index has increased steadily, widening the spread between US Treasury bonds and the rates Venezuela would have to pay on its debt.
Police claimed last night they have smashed a City of London fraud ring involving US Treasury bonds worth pounds 470million.
TOKYO, Oct 8 (KUNA) -- Japanese Finance Minister Taro Aso said on Tuesday he expects the US to swiftly resolve its current fiscal crisis, expressing concern that debt ceiling could decrease Japan's huge investments in US Treasury bonds.