Government Bonds

Government bonds are debt securities issued by national governments to support public spending. When you buy a bond, you're lending money to the government for a fixed period. In return, you receive periodic interest payments and the return of principal at maturity. Key benchmarks include US Treasuries, German Bunds, UK Gilts, and Japanese Government Bonds (JGBs).

Understanding Bond Yields:

• Yield Curve - Relationship between yields and maturities
• Inverted Yield Curve - Potential recession indicator
• Credit Ratings - Assessment of default risk
• Duration - Sensitivity to interest rate changes
• Real vs Nominal Yields - Adjusted for inflation