Treasury bond prices rose on Monday, pushing interest rates down. The interest rate on 10-year bonds...
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Treasury bond prices rose on Monday, pushing interest rates down. The interest rate on 10-year bonds fell 4 basis points to 1,65% What is the relationship between the price of treasury bond and its interest rate? Why does the interest rate move inversely to price? Describe the relationship between the price of a treasury bond and its interest rate. A. If the demand for Treasury bonds increases, the interest rate on the Treasury bond rises. B. The interest rate is the price of a Treasury bond. C. The interest rate is a percentage of the price of the Treasury bond. OD. The price of a treasury bond and the interest rate on a treasury bond are determined by the Federal Reserve. Treasury bond prices rose on Monday, pushing interest rates down. The interest rate on 10-year bonds fell 4 basis points to 1,65% What is the relationship between the price of treasury bond and its interest rate? Why does the interest rate move inversely to price? Describe the relationship between the price of a treasury bond and its interest rate. A. If the demand for Treasury bonds increases, the interest rate on the Treasury bond rises. B. The interest rate is the price of a Treasury bond. C. The interest rate is a percentage of the price of the Treasury bond. OD. The price of a treasury bond and the interest rate on a treasury bond are determined by the Federal Reserve.
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Answer Option A If the demand for treasury bond increasethe interest rate on the Treasury bond ris... View the full answer
Related Book For
Financial Institutions Management A Risk Management Approach
ISBN: 978-0071051590
8th edition
Authors: Marcia Cornett, Patricia McGraw, Anthony Saunders
Posted Date:
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