A Treasury note has 2 years left to maturity, a $1,000 face value, and a coupon rate of 4.9%, with annually (in $) paid coupon. Suppose this Treasury note is currently traded in the market at $990, what is the yield to maturity?

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Treasury Market

On-the-run securities are the most recently issued securities in the market depth and are therefore traded at some premium. The off-the-run securities are the ones issued just before the most recent ones. The on-the-run securities have a lower yield to the investor than the off-the-run securities.