Question: right now Aaa bonds yield 4% and Baa bonds yield 10%. if some bad nees causes a 7% coupon rate 8 year bond to be
right now Aaa bonds yield 4% and Baa bonds yield 10%. if some bad nees causes a 7% coupon rate 8 year bond to be unexpectedly updated from Baa to Aaa, what would be the change in the bond price?
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