An article in the Wall Street Journal in 2016 refers to the preceding 35 years as “the biggest bond bull market in history.”
a. What does the article mean by a “bond bull market”? Does the graph in the Making the Connection indicate that there was a bond bull market during the time period shown? Briefly explain.
b. The article also notes: “Bonds are meant to be safe, dull investments.” Is investing in bonds safe? What risks do bond investors face?