Bond Markets

Bond markets are venues where bonds—essentially loans made by investors to borrowers like governments or corporations—are bought and sold. When entities need money, they issue bonds, promising to pay back the borrowed amount with interest over time. Investors buy these bonds for income and safety, as they are generally less risky than stocks. Bond prices fluctuate based on interest rates and the issuer's creditworthiness. Ultimately, bond markets play a crucial role in financing public projects and corporate growth, helping to maintain economic stability.