How a Treasury bond is priced
A Treasury note or bond pays half its coupon rate every six months and $100 per $100 of face value at maturity; its price is the present value of those payments at the yield to maturity.[1][4] If the yield is higher than the coupon the price is below par, if lower it is above par, and if equal it is exactly $100.[1]
Worked with the November 2026 10-year note: C = 5.000, i = 0.05020, N = 20 half-years. The calculator gives 99.844256 per $100. Treasury's auction price was 99.843952 because the note settled on November 16, 2026, one day after its November 15 dated date; with that one day in the formula (w = 180/181) it gives 99.843952, an exact match.[2][3]
The same formula reproduces all seven auction prices in the table below to the sixth decimal, including the reopened 20-year bond, which settled mid-period at 95.853363 with accrued interest on top.
Latest Treasury note and bond auction yields
In every auction below the coupon was set just under the high yield, so each new note and bond sold slightly below $100.[1][3]
| Security | Auction | Matures | Coupon | High yield | Price per $100 |
|---|---|---|---|---|---|
| 30-year bond | November 12 | November 15, 2056 | 5.375% | 5.441% | 99.028979 |
| 10-year note | November 10 | November 15, 2036 | 5.000% | 5.020% | 99.843952 |
| 3-year note | November 9 | November 15, 2029 | 4.625% | 4.627% | 99.994175 |
| 7-year note | October 29 | October 31, 2033 | 4.875% | 4.894% | 99.887964 |
| 5-year note | October 27 | October 31, 2031 | 4.750% | 4.845% | 99.582397 |
| 2-year note | October 26 | October 31, 2028 | 4.625% | 4.708% | 99.843155 |
| 20-year bond (reopening) | October 21 | August 15, 2046 | 5.125% | 5.469% | 95.853363 |
The 2-year note yielded 4.708% and the 30-year bond 5.441%, against 4.496% on the latest 52-week bill: longer Treasuries pay more for tying money up longer, and their prices swing more when rates move. For bills, which pay no coupon, use the T-bill calculator; recent bill auctions are on the Treasury bill rates page.
Why bond prices fall when yields rise
A bond's coupons are fixed, so when market yields rise its price must fall until the yield to a new buyer matches the market, and the longer the bond, the bigger the drop. Duration measures this: a modified duration of 7.8 means the price moves about 7.8% for a one-point change in yield.
| Maturity | Modified duration | Price at 6% | Change |
|---|---|---|---|
| 2 years | 1.88 | $9,814.15 | −$185.85 |
| 5 years | 4.38 | $9,573.49 | −$426.51 |
| 10 years | 7.79 | $9,256.13 | −$743.87 |
| 30 years | 15.45 | $8,616.22 | −$1,383.78 |
From the calculator: if the 10-year note's yield rose one point to 6.020%, $10,000 of it would be worth $9,241.95, down $742.48. The 30-year bond would drop from $9,902.93 to $8,592.06. You only lock in that loss if you sell; held to maturity, a Treasury pays back its full face value.[4][5]
Yield to maturity vs current yield vs coupon
- Coupon rate: fixed at auction, never below 0.125%, and paid on the face value every six months.[4][5]
- Current yield: the annual coupon divided by today's price. It ignores the gain or loss as the price moves back to $100 at maturity.
- Yield to maturity: the single rate that makes the present value of every coupon and the principal equal the price, compounded semiannually. It is the number Treasury reports at auction and the one to compare with a CD's APY (convert with the APY calculator).
Accrued interestBetween coupon dates the buyer pays the seller the interest earned since the last coupon, then receives the full next coupon. Quoted prices leave it out; enter extra months in the calculator to see it.
Treasury notes vs Treasury bonds
| Notes | Bonds | |
|---|---|---|
| Terms | 2, 3, 5, 7 or 10 years | 20 or 30 years |
| Interest | Fixed, paid every six months | Fixed, paid every six months |
| Minimum purchase | $100, in $100 steps | $100, in $100 steps |
| Auctions | 2–7 year monthly; 10-year Feb, May, Aug, Nov (plus 8 reopenings) | 4 original issues and 8 reopenings a year |
| Taxes | Federal yes; no state or local | Federal yes; no state or local |
Both are sold at auction through TreasuryDirect or a broker and can be held to maturity or sold before.[4][5] Treasury bonds are not U.S. savings bonds: EE and I savings bonds cannot be traded and have their own rules, covered by the savings bond calculator.[5]
Related calculators
- T-bill calculatorPrice, investment rate and the state-tax edge over a CD
- Savings bond calculatorWhat an EE or I savings bond is worth, with the 20-year doubling guarantee
- Present value calculatorWhat a future sum or payment stream is worth today
- CD calculatorValue at maturity from APY or rate, any term
Frequently asked questions
How do you calculate the price of a Treasury bond?
Discount each six-month coupon (half the coupon rate × face value) and the face value at maturity at half the yield to maturity per period, and add them up. Between coupon dates, subtract accrued interest to get the quoted price. The calculator uses Treasury's own formula.
How do I calculate yield to maturity?
Yield to maturity is the rate that makes the present value of all remaining coupons and the face value equal to the price. There is no closed formula, so the calculator searches for it: choose "Yield from price" and enter the price per $100.
Why is my bond selling below $100?
Its coupon is lower than the yields new Treasuries pay now. A buyer pays less so that the coupons plus the gain to $100 at maturity earn the market yield.
What is the 10-year Treasury yield?
The 10-year note auctioned November 10, 2026 sold at a high yield of 5.020% with a 5.000% coupon. Market yields change daily after the auction.
Is a Treasury bond the same as a savings bond?
No. Treasury bonds are marketable 20- and 30-year securities with a fixed coupon; EE and I savings bonds are non-marketable and accrue interest until you cash them.