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A 7-year, 1.4% coupon Treasury bond is priced at $1,000 (remember Treasury bonds pay interest semi-annually). What is the implied discount rate or YTM for
A 7-year, 1.4% coupon Treasury bond is priced at $1,000 (remember Treasury bonds pay interest semi-annually). What is the implied discount rate or YTM for this bond?
In the example above if interest rates for 7-year US Treasuries increase by 1 percentage point, what would happen to the price of the bond?
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