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    Treasury Bonds

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    The following treasury bond quote appeared in the Financial Times on May 7, 2004:

    9.125 May 09 100:03 100:04 ... -2.15

    Why would anybody buy the Treasury Bond with a negative yield to maturity?
    How is this possible?

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    https://brainmass.com/economics/inflation/treasury-bonds-negative-yield-maturity-300034

    Solution Preview

    The yield to maturity can be negative if the bond is in high demand. The U.S. Treasury Bond is in high demand these days because everyone wants the security of the U.S. ...

    Solution Summary

    The solution goes into a great amount of detail related to the treasury bonds question being asked. The solution is very easy to follow along and can be easily understood by anyone with a basic understanding of the concepts. The solution answers all the question(s) being asked in a succinct way. Overall, an excellent response.

    $2.49

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