Bonds are typically not sold on the money market; they are usually traded in the capital market. The money market primarily deals with short-term debt instruments, such as Treasury bills, commercial paper, and certificates of deposit, which have maturities of one year or less. In contrast, bonds generally have longer maturities and are traded in the capital market, where longer-term securities are bought and sold.
If bonds are sold then the supply of money decreases.
The Government Sold The Bonds To Raise Money ;pp
Bonds are traded both in the primary market, which is the initial sale of the bonds, and in the secondary market, which is the sale of bonds subsequent to the initial sale by the issuer or underwriter.
The currency exchange market
In the bond market, government and corporate bonds are typically sold. These are debt securities that entities issue to raise capital. Investors purchase these bonds with the expectation of earning interest over time.
Bonds are traded between investors in the secondary market. However, unlike stocks, most bonds are not traded in the secondary market via exchanges. In the secondary market transactions, the bond does not have to be traded for its original issue price.
CD, Money market, bonds
The major money market instrument are treasury bills and bonds, federal agency.
2 ways. An Exchange (e.g. NYSE) which is a centralised market or Over-The-Counter (OTC) which is a decentralised market. Bonds usually trade OTC.
money market instrument , and bonds
Money in a money market account is not stuck, but it is typically invested in low-risk securities like government bonds and can be easily accessed when needed.
The term secondary market refers to a financial market where stock, bonds, and futures are sold. A secondary market also refers to used goods and objects.