It can buy Treasury securities, so instead of short term Treasury securities, maybe it could be longer term Treasury securities.

So these treasury securities, whether they're T Bills, treasury bills, treasury notes, or treasury bonds.

So in exchange it gets treasury securities.

And maybe it also does some longer term treasury securities, or whatever else.

They will give this money to the market, and in exchange they will usually buy treasury securities, sometimes something slightly different, but usually very safe securities.

What is the difference between treasury bills, treasury notes, and treasury bonds?

You have a sense of what treasury bills, treasury notes, and treasury bonds are.

Something about phony securities.

They're fairly liquid securities.

Those are essentially derivative securities that are derived from mortgage backed securities.

What is even a treasury?

This is a Treasury bond.

And when the government borrows money, they're essentially issuing treasury bills, if you are talking about the U.S., treasury bills and treasury bonds.

So, there's more demand for the treasury, the interest on the treasury will go down

So there is the U.S. Treasury.

And Jack Benny is treasury secretary.

And equity securities you're probably familiar with.

We're from the Securities and Exchange Commission.

And that's given by the treasury rate.

So this is the treasury yield curve.

That's better than buying Treasury Bills, right?

Treasury bond if it's a longer duration.

The public agency with the greatest expertise on Earth is of course the treasury that is, the British Treasury.

Welcome to my presentation on mortgage backed securities.

It is a loan to the U.S. Treasury.

I have a whole video on mortgage backed securities.

And they rate these assets, these mortgage backed securities.

They make a little net money for the treasury.

He is the main buyer of U.S. Treasury bonds.

10 million, in negotiable US Treasury certificates, coupons attached.

(And right here, I actually took a screenshot (from my Bloomberg terminal) of the basket of goods that makes up the Consumer Price Index the index that sets everything from the coupons on Treasury inflation protected securities

Social securities are not something that should be trifled with.

And we learned that debt securities are often called bonds.

CDOs, collateralized debt obligations, are derived from mortgage backed securities.

So AAA would be like the highest rated securities, right?

We call them petrodollars. The treasury was bursting with money.

So then there are other people who own Treasury bills.

So this right here is a Treasury bond or bill.

And so money came from when the owners of each of these mortgage backed securities each, let's say, paid 1,000 for the mortgage backed securities.

So this is what people are talking about when they say treasury prices go up, if treasury prices go up then the yields go down

I'll draw it as a dollar bill, right over there they hand the U.S. Treasury money, and then the U.S. Treasury gives them an IOU.

This IOU is what a Treasury bill is, and what it entitles the holder of this piece of paper, it allows them to get interest from the Treasury, depending on what type of Treasury bill or bond it will be.

You call them stock, or stock options, derivatives, mortgage backed securities.

And we're also joined by Brent Lawson from Lawson Frisk Securities.

Welcome back to my series of presentations on mortgage backed securities.