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maturity yield 1 year 1.25% 2 1.35 3 1.50 4 1.70 5 1.95 6 2.25 8 2.95 10 3.95 If pure expectations hypothesis holds, what
maturity | yield |
1 year | 1.25% |
2 | 1.35 |
3 | 1.50 |
4 | 1.70 |
5 | 1.95 |
6 | 2.25 |
8 | 2.95 |
10 | 3.95 |
If pure expectations hypothesis holds, what will interest rate on 2 year securities be 6 years from now?
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