Home Guides & Resources chevron_right Economy and the Markets Liz Laprade on the Bond Yield Surge Published September 28, 2021 BondA financial instrument representing an IOU from the borrower to the lender. Bond issuers promise to pay bond holders a given amount of interest for a pre-determined amount of time until the loan is repaid in full (otherwise known as the maturity date). Bonds can have a fixed or floating interest rate. Fixed-rate bonds pay out a pre-determined amount of interest each year, while floating-rate bonds can pay higher or lower interest each year depending on prevailing market interest rates. yieldsYield is a measure of the income on an investment in relation to the price. There are several ways to measure yield. The current yield of a security is the income over the past year (either dividends or coupon payments) divided by the current price. rose 9.4% between Wednesday and Thursday of last week. In Today’s Market Takeaways, research analyst Liz Laprade covers what was behind the move and how the equityThe amount of money that would be returned to shareholders if a company’s assets were sold off and all its debt repaid. markets reacted. Tags: video