Government bonds just got interesting
Many Happy Returns
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Why the US Treasury Didn't Issue Perpetual Debts
Bond maths means the sensitivity of a bond to interest rate increases and decrease s is very high. So for example, this austrian sentry bond has a duration of 37 years. But look, if if you are a government and you want to lock in a low rate for a very long period of time, or forever, then yet issue perpetual debts. It's kind of interesting that the us. Treasury didn't do that. I don't know why. Well, maybe there's some kind of legal issue, because, you know, half the country does not like the idea of government debt. That would be uit a compelling argument they should hire me.
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