U.S. Treasury Security

(redirected from United States Treasury Security)
Also found in: Wikipedia.

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.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
References in periodicals archive ?
Although the IRS has not provided guidance on its tax treatment, a myRA account is a "new type of Roth IRA" that has no fees and invests contributions exclusively in a "new United States Treasury security," according to Treasury.
Contributions are invested in a new United States Treasury security that earns the same variable rate as investments in the government securities fund for federal employees.

Financial browser ?
Full browser ?