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Reading G-Bond Changes

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paradox6996
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Reading G-Bond Changes  Reply with quote  

Wanted to know if there was a simple way to read bond input/output.

For example this page at Bloomberg Has a list of US Government Treasuries.

http://www.bloomberg.com/markets/rates-bonds/government-bonds/us/

How do I read the price/yield to tell if the bonds are going up in price and less interest or vice-versa. In other words how can I tell if the bonds are doing good or bad in the market.

I'm not an investor, but I do like to watch the economy. I watch the stock market a lot, but could never figure out how bonds worked in this sense.

Thanx for the time!
Post Wed Nov 07, 2012 9:38 am
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coaster
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Prices and yields of bills are decimalized. Prices of notes and bonds are 32nds and fractions thereof. Prices are with respect to par. Yields are decimalized. Yields are the interest earned on the price paid (simple def) Coupon is the stated interest rate on the par value (face value). If the price is over 100 then the yield is less than coupon. In the change column, green is up and red is down. Note that if one side is red, the other side is green. Price down, yield up; and visa versa.

If you can watch CNBC in the morning, you can learn a lot about how the bond markets work by watching Rick Santelli's pieces; usually shortly after the top of the hour.

~Tim~
Post Thu Nov 08, 2012 6:24 am
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paradox6996
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That makes since and figured that's how it works. Thank You for the clarification.
Post Thu Nov 08, 2012 10:25 am
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