The yield curve of government bonds was published on December 30, 2016 + chart
According to reports EconomyNews On Tuesday, the volume of securities transactions decreased by 40% compared to the previous day and reached 175 billion tomans.
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Today, bond yields fell at various maturities. The rate of return on one-year bonds decreased by one tenth to 18.47% and the rate of return on two-year bonds remained unchanged at 20.33%. The rate of return on three-year bonds also fell by 6 tenths to 21.83 percent
In the same context
What is the yield curve of government bonds?
Today, the yield curve of future bonds had a steep slope, the yield of bonds with a maturity of 400 days was 20% with a one percent increase, this figure remained at the same number of 23% at the maturity of 600 days yesterday. The yield on bonds with a maturity of 800 days decreased by half a percent to 24.5 percent.
Cash and future rate of return
In the government bond market, bond yields are discovered at different maturities through supply and demand. The rate discovered under this mechanism represents the average cash return on holding the bonds to maturity. Also, the difference in cash return rates at different maturities can be used to derive the future return expected by investors.