Question: A 30-year Treasury bond is issued with a face value of $1,000 and makes coupon payments of $20 every six months. If relevant market yields

A 30-year Treasury bond is issued with a face value of $1,000 and makes coupon payments of $20 every six months. If relevant market yields decrease shortly after the Treasury bond is issued, what happens to the bonds coupon rate, current yield, and yield to maturity?

all three increase

all three decrease.

the coupon rate increases, the current yield increases, and the yield to maturity decreases.

the coupon rate stays the same, the current yield decreases, and the yield to maturity decreases.

the coupon rate stays the same, the current yield increases, and the yield to maturity increases.

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