Global Government Bond Rates & Historical Data Charts

A government bond is a debt instrument issued by a central government to raise capital, considered one of the safest investments. It is primarily categorized into three types: 1. Treasury Bills (T-bills): Short-term bonds with maturities of one year or less. 2. Treasury Notes (T-notes): Medium-term bonds with maturities between two and ten years. 3. Treasury Bonds (T-bonds): Long-term bonds with maturities over ten years. Unlike municipal bonds, which are issued by local governments and carry higher credit risk, government bonds are backed by the full faith and credit of the nation, making their default risk extremely low.

A bond's yield is the key measure of its investment return. The yield curve graphs yields of bonds with different maturities, and its shape reflects market expectations. The benchmark interest rate (like the central bank's rate) primarily affects short-term bond yields, while long-term yields are more influenced by inflation and economic growth prospects. Investors should distinguish between Yield to Maturity (YTM) (total return if held to maturity), Current Yield (annual coupon/current price), and Holding Period Yield (return over a specific period).

To find the latest bond data, check official treasury websites, major financial news outlets, or this platform. Key metrics include: Maturity Date (when principal is repaid) and Coupon Payment Date (when interest is paid). Trading prices are quoted as Clean Price (excluding interest) and Dirty Price (the actual price paid, including accrued interest). A bond's Coupon Rate is fixed at issuance, while its actual yield changes with its market price.

Bond yields are a crucial leading economic indicator. Rising yields often signal a strengthening economy but can also result from tightening policies like a Fed rate hike, which increases borrowing costs and can pressure the stock market. An inverted yield curve (short-term yields higher than long-term) is a classic recession warning. Additionally, higher yields can attract foreign investment, potentially causing the domestic exchange rate to appreciate.