Given the recent fluctuations in the market interest rates, analyze how these shifts can impact the value and yield of bonds.

Discuss the underlying mechanisms that cause bond values and yields to change in response to market interest rates.

Explain how these changes can affect investors with different financial goals.

In response to your peers: Critique or build upon the analyses presented by your classmates, providing additional insight into how the duration and coupon rate of a bond may alter its sensitivity to interest rate changes. Consider the perspective of both short$-$term and long$-$term investors and propose how different investors might react or adapt to these fluctuations. Share any real$-$world examples or historical data that could support your discussion and help deepen the understanding of these concepts.