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Treasuries

Treasuries are debt securities issued by the US Department of the Treasury to finance the federal government. Investors lend money to the government and receive repayment according to the security’s terms. The name covers Treasury bills, notes, bonds, inflation-protected securities, and floating-rate notes. Bills are short-term, notes cover medium maturities, and bonds extend further into the future. Treasuries are actively traded and commonly used as reference rates for other borrowing. They are backed by the US government, but their market prices can still fall when interest rates rise. “Treasuries” refers to the full family, not only the long-term Treasury bond.

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