Market yield on 10-year U.S. treasury securities 1970-2020
In 2020, the yield on 10-year U.S. treasury securities declined significantly to 0.89 percent, down from 2.14 percent in 2019. This is the lowest value in the period under consideration, and well below the longer-term average presented by this statistic. In 1980 the yield was 11.43 percent.
What are treasury securities?
The United States government consistently has a budget deficit, and it finances this spending with debt issued by the Treasury Department. These treasury securities are attractive investments because most investors believe that the United States Treasury Department will never default. For this reason, many investors of different varieties hold these securities.
Country differences
The markets consider treasury securities to be low-risk, as they are secured by governments. Different countries differ in level of indebtment, value of investments, stability of currency, GDP growth, inflation, etc. These factors are the reasons why yields on government bonds differ from country to country. The yield shows how much a given government has to pay to the investors for the money that it borrows.
What are treasury securities?
The United States government consistently has a budget deficit, and it finances this spending with debt issued by the Treasury Department. These treasury securities are attractive investments because most investors believe that the United States Treasury Department will never default. For this reason, many investors of different varieties hold these securities.
Country differences
The markets consider treasury securities to be low-risk, as they are secured by governments. Different countries differ in level of indebtment, value of investments, stability of currency, GDP growth, inflation, etc. These factors are the reasons why yields on government bonds differ from country to country. The yield shows how much a given government has to pay to the investors for the money that it borrows.
