When the Fed decided to increase the target for the federal funds rate in their November meeting, savings institutions are impacted by this decision. How is interest rate risk for savings institutions related to the Fed's decision?

		A) Savings institutions have interest rate risk because they primarily use their funds to invest in the bond market, and when interest rates go up, the value of bonds go down.
		B) Savings institutions have interest rate risk because they may have many adjustable-rate mortgages, and these may be more likely to face default.
		C) Savings institutions have interest rate risk because when the Fed increases the interest rate, inflation typically goes up as a result of this.
		D) Savings institutions have interest rate risk because when the Fed increases rates they have to pay more for their sources of funds, while they may not be able to increase rates on their fixed-rate mortgages,. As a result, their net interest margin may shrink.