5 Year Treasury Rate Market Daily Trends: Daily Treasury Yield Curve Rates (2024)

FAQs

What is the 5 year Treasury rate prediction? ›

The United States 5 Years Government Bond Yield is expected to be 2.596% by the end of December 2024.

The Daily Treasury Yield Curve Rates, also known as “Constant Maturity Treasury” rates are interpolated by the Treasury based on the daily yield curve, which is calculated from composite market quotations of actively traded Treasury securities in the over-the-counter market obtained by the Federal Reserve Bank of New ...

5 Year Treasury Rate is at 3.45%, compared to 3.43% the previous market day and 4.41% last year. This is lower than the long term average of 3.75%. The 5 Year Treasury Rate is the yield received for investing in a US government issued treasury security that has a maturity of 5 years.

Choosing between a CD and Treasuries depends on how long of a term you want. For terms of one to six months, as well as 10 years, rates are close enough that Treasuries are the better pick. For terms of one to five years, CDs are currently paying more, and it's a large enough difference to give them the edge.

We sell Treasury Notes for a term of 2, 3, 5, 7, or 10 years. Notes pay a fixed rate of interest every six months until they mature. You can hold a note until it matures or sell it before it matures.

Interest income from Treasury securities is subject to federal income tax but exempt from state and local taxes. Income from Treasury bills is paid at maturity and, thus, tax-reportable in the year in which it is received.

Median Forecasts for 3-Month Treasury Bill Rate is at 3.98%, compared to 4.10% last quarter and 5.13% last year. This is higher than the long term average of 3.83%.

Reading yield curve charts

The yield curve moves in two ways: up and down. A normal yield curve slopes upward, meaning the interest rate on shorter-dated bonds is lower than the rate on longer-dated bonds.

Importance of the Yield Curve

The shape of the curve helps investors get a sense of the likely future course of interest rates. A normal upward-sloping curve means that long-term securities have a higher yield, whereas an inverted curve shows short-term securities have a higher yield.

The forward curve shows the short-term (instantaneous) interest rate for future periods implied in the yield curve. The par yield reflects hypothetical yields, namely the interest rates the bonds would have yielded had they been priced at par (i.e. at 100).

Are tips better than Treasury bonds? ›

TIPS are expected to perform better in a rising interest rate environment than conventional U.S Treasury bonds because their inflation adjustments provide potential price support, but only when rates are rising because of increasing inflation.

TIPS pay interest every six months. The accrued principal assumes an initial investment of $1,000. Figures after periods in bid and ask quotes represent 32nds; 101.26 means 101 26/32, or 101.8125% of 100% face value; 99.01 means 99 1/32, or 99.03125% of face value. unch.

6 Month Treasury Bill Rate is at 4.53%, compared to 4.56% the previous market day and 5.29% last year. This is higher than the long term average of 4.49%. The 6 Month Treasury Bill Rate is the yield received for investing in a US government issued treasury bill that has a maturity of 6 months.

5 Year Treasury Inflation-Indexed Security Rate is at 1.64%, compared to 1.67% the previous market day and 2.14% last year. This is higher than the long term average of 0.49%.

Bonds and Notes

Notes are relatively short or medium-term securities that mature in 2, 3, 5, 7, or 10 years. Both bonds and notes pay interest every six months.