Bond A: 5 year US Treasury Note @ 3.25% YTM Bond B: 10 year US Treasury Note @ 3.50% YTM Bond C: 5 year BBB rated Non-Callable Corporate Bond @ 4.85% YTM Bond D: 10 year AA rated Non-Callable Corporate Bond @ 4.35% YTM Bond E: 10 year Agency Callable in 5 years @ 4.40% YTC | 4.75% YTM

If a fear of higher future inflation becomes widespread in the market, investors purchasing bonds will likely require

a) higher credit spreads to treasuries.

b) higher yields on benchmark treasuries.

c) lower credit spreads to treasuries.

d) lower yields on benchmark treasuries.