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Term (years) Today's Rate 1 1.60% 2 1.63% 3 3.00% 4 3.20% Based on the expectations hypothesis, what does the market expect the1-year rate, 3

Term (years) Today's Rate

1 1.60%

2 1.63%

3 3.00%

4 3.20%

Based on the expectations hypothesis, what does the market expect the1-year rate, 3 years from now to be?

3.80%

3.74%

1.66%

5.80%

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