Bond purchases refer to the act of buying bonds, which are debt securities issued by governments or corporations. When an investor buys a bond, they are essentially lending money to the issuer with the promise of receiving interest payments and eventually being repaid their principal amount. Bond purchases can be made through various channels such as stock exchanges, over-the-counter markets, or directly from the issuing entity. Central banks may also engage in bond purchases as part of their monetary policy efforts to stimulate economic growth and stabilize financial markets.