M
   
   Municipal Over Bond (MOB) Spread
   















 

M

Municipal Over Bond (MOB) Spread

The difference between the yield implicit in the municipal bond futures contract and the yield implicit in the Treasury bond futures contract on the Chicago Board of Trade (CBOT). The spread is sensitive to the shape of the yield curve (the municipal contract components are usually shorter-term bonds) and the perceived credit quality of the municipals.

Glossary * M