3 Apr 2025: Invest in US Treasury Note, T 2.875% 30Apr2025 Govt

Investment Idea: US Treasury Note, T 2.875% 30Apr2025 (USD)

Ask Yield: 3.79%

Ask Price: 99.939

Issuer: United States Treasury

Coupon: 2.875%

ISIN: US9128284M90

Issuer Credit Rating: AA+ (S&P / Fitch), Aaa (Moody's)

Bond Credit Rating: AA+ (Fitch), Aaa (Moody's)

Outstanding Issue Size: USD 32.6 Billion

On 25 November 2024, Fitch Ratings said that the policy agenda of the new US administration will have meaningful implications for the global economic and credit outlook. Tax cuts, a marked increase in tariffs, particularly on China, and a slowdown in immigration is expected; Foreign policy will also become more unpredictable. The impact of tariffs is likely to be met with retaliation.

Why Invest in US Treasury bonds?

1. Flight to Quality theme to ensue

2. US announced aggressive tariffs on trading partners

3. A slowdown in growth will support the outlook for fixed income