What is the historical reason for treasury bonds to be priced in 32nds?
I have tried using Google and this site to find the answer, but have not been able to find anything definite.
Three possibilities I found during my search that had no documentation what so ever backing them up:
Probably a carry-over from European influence in monetary system. Spain had "pieces of 8" coins... bonds might have been tic-priced on that concept... "1/8" of something being the smallest denomination. For bonds 1/8 was too large of a tic? So, 1/32 = 1/4 of 1/8. source
I believe it’s because the old ticker machines only had 32 symbols making each symbol (1/32) a tick. source
I suppose it remains from the LSD days when an eighth of a pound was 2s6d
Just something I always wondered about, but never actually got anyone to answer. So I hope someone on here knows why!