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Borrowers who pay interest at a fixed rate are worried about falling interest rates. Why do they buy government bonds?
It can be understood that the borrower and the borrower agree to pay interest at a fixed interest rate, but once the interest rate drops in the later period, the borrower still needs to pay interest at the previous high interest rate, and the cost of capital is relatively equal to the increase. On the other hand, the price of treasury bonds futures will rise when interest rates fall, so buying treasury bonds futures can offset the losses caused by rising interest rates.