[[ item.lastPrice ]] [[ item.priceChange ]] ([[ item.percentChange ]]) [[ item.tradeTime ]] [CBOT]
[[ item.bidPrice ]] x [[ item.bidSize ]] [[ item.askPrice ]] x [[ item.askSize ]]
[[ rootItem.symbol ]]underlying price [[ rootItem.lastPrice ]] [[ rootItem.priceChange ]] ([[ rootItem.percentChange ]]) [[ rootItem.tradeTime ]]
Contract Specifications for [[ item.sessionDateDisplayLong ]]
| Barchart Symbol | ZB |
| Exchange Symbol | ZB |
| Contract | 30-Year Treasury-Bond Futures |
| Exchange | CBOT |
| Tick Size | 32nds of a point ($31.25 per contract) rounded up to the nearest cent per contract; par is on the basis of 100 points |
| Margin/Maintenance | $4,290/3,900 |
| Daily Limit | None |
| Contract Size | $100,000 |
| Months | Mar, Jun, Sep, Dec (H, M, U, Z) |
| Trading Hours | 5:00p.m. - 4:00p.m. (Sun-Fri) (Settles 2:00p.m.) CST |
| Value of One Futures Unit | $1,000 |
| Value of One Options Unit | $1,000 |
| Last Trading Day | Seventh business day preceding the last business day of the delivery month |
Description
U.S. interest rates can be characterized in two main ways, credit quality and maturity. Credit quality refers to the level of risk associated with a particular borrower. U.S. Treasury securities, for example, carry the lowest risk. Maturity refers to the time at which the security matures and must be repaid. Treasury securities carry a full spectrum of maturities, from short-term cash management bills to T-bills (4-weeks, 3-months, 6-months), T-notes (2-year, 3-year, 5-year, 7-year, and 10-year), and 30-year T-bonds. The most active futures markets are the 10-year T-note futures, 30-year T-bond futures, and Eurodollar futures, all of which are traded at the CME Group.
Prices - CME 10-year T-note futures prices (Barchart.com electronic symbol ZN) posted their high for 2022 in January as they fell further from the all-time high posted in March 2020.
T-note prices were under pressure throughout 2022 as soaring inflation prompted the Federal Reserve (Fed) to aggressively raise interest rates. U.S. consumer prices in March rose +8.5% y/y, the fastest pace in 40 years. At the March 2022 FOMC meeting, the Fed raised the federal funds target range by 25 basis points to 0.25%-0.50%, and the Fed's dot-plot signaled six more 25 basis point rate increases for 2022. Fed Chair Powell said, "if appropriate to move more quickly, we'll do so."
The Fed ramped up its pace of interest rate increases at the May 2022 FOMC meeting, lifting the federal funds target range by 50 basis points to 0.75%-1.00%. The sell-off in T-note prices paused briefly in Q2 after Fed Chair Powell said at the May FOMC meeting that a "75 basis point rate hike isn't being actively considered, but more 50 basis point rate hikes were on the table." Also, inflation eased as consumer prices in April fell to +8.3% y/y from March's 40-year high of +8.5% y/y.
At the June FOMC meeting, the Fed raised the federal funds target range by 75 basis points to 1.50%-1.75%, the largest increase since 1994, as strength in the U.S. labor market and rising inflation kept the Fed hawkish. The U.S. unemployment rate continued to fall throughout 2022 and dropped to a 2-year low of 3.5% in July. The Fed also raised its interest rate hike estimates at the June FOMC meeting, projecting another 175 basis points of rate hikes for the year.
After moving sideways to slightly higher into August, T-note prices continued their sell-off into Q4 of 2022, falling to a 15-year low in October. U.S. consumer price pressures peaked in June at +9.1% y/y, the most in four decades, which kept the Fed hawkish and prompted four consecutive 75 basis point interest rate hikes from June through November. At the September FOMC meeting, policymakers said ongoing rate hikes were "appropriate," and Fed Chair Powell said the Fed intended to return to "sufficiently restrictive" rates.
T-note prices staged a modest recovery into the year-end of 2022 as inflation eased and allowed the Fed to slow its pace of interest rate hikes. After posting a 40-year high of 9.1% y/y in June, U.S. consumer prices fell to a 14-month low of 6.5% y/y by December. At the December FOMC meeting, the Fed slowed its pace of interest rate hikes to 50 basis points to 4.25%-4.50% after raising rates by 75 basis points at the previous four consecutive meetings. The FOMC also projected a peak interest rate of 5.1% for 2023, and Fed Chair Powell said the size of future rate hikes would depend on incoming data. The 10-year T-note yield finished 2022 up +2.37 percentage points at 3.88%.
Information on commodities is courtesy of the CRB Yearbook, the single most comprehensive source of commodity and futures market information available. Its sources - reports from governments, private industries, and trade and industrial associations - are authoritative, and its historical scope for commodities information is second to none. The CRB Yearbook is part of the Barchart product line. Please visit us for all of your commodity data needs.
FAQs
US 30-year treasury bond is a debt obligation assigned by the U.S. treasury for a period of 30 years.It is also called T-bond. More information can be found in other sections, such as historical data, charts and technical analysis.
What is the 30-year U.S. Treasury bond futures? ›
US 30-year treasury bond is a debt obligation assigned by the U.S. treasury for a period of 30 years.It is also called T-bond. More information can be found in other sections, such as historical data, charts and technical analysis.
How big is the T-bond futures contract? ›
Table 1: CBOT U.S. Treasury futures contract details. Each U.S. Treasury futures contract has a face value at maturity of $100,000 with the exceptions of 2-year and 3-year U.S. Treasury futures contracts, which have face value at maturity of $200,000.
What is a Treasury bond futures contract? ›
A bond futures contract is a standardised, exchange- traded derivative contract to buy or sell bonds of a particular maturity on a future date for a price that is agreed today. When an investor takes a position in the market by buying a futures contract, the investor is said to have a long position.
What is the symbol for Treasury bond futures? ›
U.S. Treasury Bond Futures,Jun- (ZB=F) Stock Price, News, Quote & History - Yahoo Finance.
Why would someone buy a 30 year Treasury bond? ›
U.S. Treasury bonds are long-term debt securities. Treasury bonds mature in 20 or 30 years and pay interest every six months. When you purchase a Treasury bond, you are loaning money to the U.S. federal government. Treasury bonds are a low-risk investment that pays a fixed return and offers tax advantages.
What is the yield of a 30 year T bond? ›
30 Year Treasury Rate is at 4.78%, compared to 4.82% the previous market day and 3.76% last year. This is higher than the long term average of 4.74%. The 30 Year Treasury Rate is the yield received for investing in a US government issued treasury security that has a maturity of 30 years.
What is the margin requirement for Treasury bond futures? ›
Margin is a deposit -- usually 5--10% of the contract's value -- required by the futures exchange from both the buyer and the seller of the contract. Margin helps to ensure that both buyer and seller will perform as specified in the futures contract.
How do you price Treasury bond futures? ›
The price of bond futures can be calculated on the expiry date as: Price = (bond futures price x conversion factor) + accrued interest.
How much does it cost to hold a futures contract? ›
How much does it cost to trade futures? Fees for futures and futures options are $2.251 per contract, plus exchange and regulatory fees, and you pay the same commission whether you trade online or with the help of a broker. Note: Exchange fees may vary by exchange and by product.
Cheapest to deliver is the cheapest security that can be delivered in a futures contract to a long position to satisfy the contract specifications. It is common in Treasury bond futures contracts.
Which of the Treasury bond futures has $200000 contract size at maturity? ›
The 2-Year Note has a contract size of $200,000 face-value per contract. This size is unique to 2-Year Notes as all other active U.S. Treasury futures have a face value of $100,000.
How do Treasury futures settle? ›
Each Treasury futures contract delivery is accomplished through a three-day process in which (1) CME Clearing receives notification from a short clearing firm of a short position holder's intention to make delivery, and then matches the short clearing firm to a long clearing firm who becomes obligated to accept ...
What is the ticker symbol for the 30 year Treasury bond? ›
Treasury Yield 30 Years (^TYX) Stock Price, News, Quote & History - Yahoo Finance.
Do Treasury futures have carry? ›
The Yield Curve
To account for this revenue in the underlying physical note or bond the futures contract must price at a discount and gradually converge to cash by time of delivery. Carry can be either positive or negative depending on the level of rates and the slope of the yield curve.
What is Treasury bill futures? ›
T-Bill futures are cash-settled to a price equivalent to 100 minus the highest accepted rate. Each market participant receives a different rate to ensure there is market liquidity.
What is the projected 30 year Treasury rate? ›
The United States 30 Years Government Bond Yield is expected to be 5.012% by the end of September 2024.
How much is a $100 savings bond worth after 30 years? ›
How to get the most value from your savings bonds
| Face Value | Purchase Amount | 30-Year Value (Purchased May 1990) |
|---|
| $50 Bond | $100 | $207.36 |
| $100 Bond | $200 | $414.72 |
| $500 Bond | $400 | $1,036.80 |
| $1,000 Bond | $800 | $2,073.60 |
The investment objective of the US Treasury 30 Year Bond ETF (the “UST 30 Year Bond Fund”) is to seek investment results that correspond (before fees and expenses) generally to the price and yield performance of the ICE BofA US 30-Year US Treasury Index (GA30).
What is the maturity of Treasury bond futures? ›
In the U.S. market, the Chicago Mercantile Exchange (CME) offers futures on Treasury bonds and notes with maturities of 2, 5, 10, and 30 years. Typically, the following bond future contracts from the CME have maturities of 3, 6, 9, and 12 months: 30-year U.S. Treasury bond. 10-year U.S. Treasury bond.
