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Assume you purchased $100,000,000 of the Merck bond at a spread of 45 bps to the 5 year treasurey note, when 5 year treasury note
Assume you purchased $100,000,000 of the Merck bond at a spread of 45 bps to the 5 year treasurey note, when 5 year treasury note yields were at 8%. If treasurey yields host steady, but A-rated xredit spreads widen immediately by 50bps, you would incur an unrealized [BLANK] of [BLANK]
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