1. Examine the Treasury yield curve data in Appendix A. Imagine that you are in January 2011. What were expected 6- year rates, 1 year from January 2011 (i.e. assuming that you are looking at this from the perspective of someone as of January 25, 2011

Appendix A

Treasury Yield Curve Data

	1 mo	3 mo	6 mo	1 yr	2 yr	5 yr	7 yr	10 yr	20 yr	30 yr
1/25/2021	0.07	0.09	0.09	0.1	0.13	0.42	0.73	1.05	1.61	1.8
1/25/2016	0.25	0.31	0.42	0.47	0.88	1.47	1.79	2.03	2.42	2.8
1/25/2011	0.15	0.16	0.18	0.27	0.62	1.96	2.68	3.35	4.23	4.48
2/9/2006	4.32	4.52	4.67	4.66	4.66	4.55	4.55	4.54	4.72	4.51