Question: One - year Treasury securities yield 6 % . The market anticipates that 1 - year from now 1 - year Treasury securities will yield

One-year Treasury securities yield 6%. The market anticipates that 1-year from now 1-year Treasury securities will yield 6.5%. If the pure expectations theory is correct, what should be the yield today for 2-year Treasury securities? Write your answer as a percentage, i.e. for example write 8 as 8%.

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