An investor owns two treasury notes of $25,000 each, and both pay interest at a rate of 2.5% per year. One note matures in two years and the other note matures in ten years. If investors suddenly expect a higher yield to maturity of 3%, (due to a sudden change in economic circumstances), what best describes the likely change in market value of the two bonds.

A. The market value of the ten year note will decrease but the market value of the two year note will increase in market value.

B. There will be no change in the market value of either note.

C. The market value of the 10 year note will decrease more than the 2 year note.

D. The market value of the ten year bond will go up more than the market value of the 2 year note.