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Suppose the Federal Reserve adjusts its policies and the result is an unexpected increase in the yield to maturity on outstanding 10-year U.S. Treasury notes.
Suppose the Federal Reserve adjusts its policies and the result is an unexpected increase in the yield to maturity on outstanding 10-year U.S. Treasury notes. Which of the following is most likely to happen as a result of this policy change? O The coupon rate on outstanding 10-year U.S. Treasury notes will increase. O The yield to maturity on AA-rated 10-year corporate bonds will fall. O The price of outstanding AA-rated 10-year corporate bonds will fall. O The credit spread on AA-rated 10-year corporate bonds will increase
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