WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0000771520
<NAME> Federated U.S. Government Bond Fund
<SERIES>
<NUMBER> 001
<NAME> Federated U.S. Government Bond Fund
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> Aug-31-1999
<PERIOD-END> Aug-31-1999
<INVESTMENTS-AT-COST> 126,176,299
<INVESTMENTS-AT-VALUE> 121,913,238
<RECEIVABLES> 1,777,155
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 15,572
<TOTAL-ASSETS> 123,705,965
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 516,824
<TOTAL-LIABILITIES> 516,824
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 127,359,779
<SHARES-COMMON-STOCK> 12,578,002
<SHARES-COMMON-PRIOR> 10,610,535
<ACCUMULATED-NII-CURRENT> 8,689
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 83,734
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> (4,263,061)
<NET-ASSETS> 123,189,141
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 7,422,377
<OTHER-INCOME> 0
<EXPENSES-NET> (1,089,390)
<NET-INVESTMENT-INCOME> 6,332,987
<REALIZED-GAINS-CURRENT> 1,696,736
<APPREC-INCREASE-CURRENT> (13,860,203)
<NET-CHANGE-FROM-OPS> (5,830,480)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (6,330,231)
<DISTRIBUTIONS-OF-GAINS> (2,523,976)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 12,143,703
<NUMBER-OF-SHARES-REDEEMED> (10,688,181)
<SHARES-REINVESTED> 511,945
<NET-CHANGE-IN-ASSETS> 6,485,096
<ACCUMULATED-NII-PRIOR> 5,296
<ACCUMULATED-GAINS-PRIOR> 917,192
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 765,007
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 1,434,639
<AVERAGE-NET-ASSETS> 127,509,590
<PER-SHARE-NAV-BEGIN> 11.000
<PER-SHARE-NII> 0.520
<PER-SHARE-GAIN-APPREC> (0.980)
<PER-SHARE-DIVIDEND> (0.520)
<PER-SHARE-DISTRIBUTIONS> (0.230)
<RETURNS-OF-CAPITAL> 0.000
<PER-SHARE-NAV-END> 9.790
<EXPENSE-RATIO> 0.85
[AVG-DEBT-OUTSTANDING] 0
[AVG-DEBT-PER-SHARE] 0.000
</TABLE>