1Pull up the US Treasury yield curve.
Type GC GO (Government Curve) or USGG GO.
Record the current yields for these maturities:
| Maturity | Ticker | Yield (%) |
|---|---|---|
| 3-Month T-Bill | GB3 Govt | |
| 2-Year Note | GT2 Govt | |
| 5-Year Note | GT5 Govt | |
| 10-Year Note | GT10 Govt | |
| 30-Year Bond | GT30 Govt |
Is the yield curve currently upward sloping, flat, or inverted?
2Analyze the 10-year Treasury note.
Type GT10 Govt GO, then press YAS GO (Yield Analysis).
| Field | Value |
|---|---|
| Coupon Rate | |
| Maturity Date | |
| Quoted Price (Clean) | |
| Accrued Interest | |
| Invoice Price (Dirty) | |
| YTM |
Is this bond trading at a premium, par, or discount? Why?
3Find a corporate bond using Bloomberg search.
Type SRCH GO (Bond Search). Set filters:
Select one bond and type its CUSIP or ticker followed by Corp, then YAS GO.
| Field | Value |
|---|---|
| Issuer Name | |
| Coupon Rate | |
| Maturity Date | |
| Credit Rating (S&P/Moody's) | |
| YTM | |
| Comparable Treasury Yield | |
| Yield Spread (bps) |
4Now find a high-yield (junk) bond.
In SRCH, change the rating filter to BB or lower. Select one bond and analyze it.
| Field | Investment Grade Bond | High-Yield Bond |
|---|---|---|
| Issuer | ||
| Rating | ||
| YTM | ||
| Spread (bps) |
How much extra yield does the junk bond offer? Is it worth the additional default risk?
5Check a company's credit rating details.
For a major issuer (e.g., Apple), type AAPL Equity CRPR GO (Credit Profile) or RATD for rating details.
| Field | Value |
|---|---|
| S&P Rating | |
| Moody's Rating | |
| Outlook | |
| Total Debt Outstanding |
6Compare yield spreads across ratings.
Type CSDR GO (Credit Spread) to see current spreads by rating category.
| Rating | Current Spread (bps) | 1-Year Ago (bps) |
|---|---|---|
| AAA | ||
| A | ||
| BBB | ||
| BB |
Have spreads widened or narrowed over the past year? What does this tell you about market risk appetite?
| Command | Function | Example |
|---|---|---|
| GC | Government Yield Curve | GC GO |
| YAS | Yield & Spread Analysis | GT10 Govt YAS |
| SRCH | Bond Search / Screener | SRCH GO |
| CRPR | Credit Profile | AAPL Equity CRPR |
| RATD | Rating Details | [Bond] Corp RATD |
| CSDR | Credit Spread by Rating | CSDR GO |
| GP | Price Chart | GT10 Govt GP |