Although many low spread forex brokers offer trading in CFDs that track the price of government bonds, these are still not as popular as stock indices and commodity CFDs. There are also far fewer bonds on the market that are available as CFDs, compared to stock indices and commodities.
The most commonly offered bonds from low spread forex brokers are US, UK, German, and Japanese government bonds. Bonds are known to be more stable assets than stocks, and are therefore often used to smooth out volatility and lower overall risk in an investment portfolio. As all other financial assets, however, bonds also go through periods when they become overvalued, and they should therefore be used with caution.