1.News comes out today that suggests that the stock market is much more attractive than before (corporate earnings have gone up greatly).What will happen to U.S. Treasury Bond Prices and Yields today as a result of the news? Apply analysis you see on the graph.

Example 3: Expect Higher Stocks Prices: Bond demand shifts left: higher vield and lower bond prices High price Low Yield Bond supply Treasury Bond Price Treasury Bond demand shifts left Treasury Yield Bond demand Low Price High Yield Quantity of Treasury BondsExample 4: Expect lower stock prices-Bond demand shifts right: lower vield and higher bond prices High price Low Yield Bond supply Treasury Bond Price Treasury Bond demand shifts to right Treasury Yield mind demand Low Price High Yield Quantity of Treasury Bonds