The following table shows the nominal interest rate for U.S. Treasury bonds with different maturities in September between 2020 and 2022:

Time	6 mouths	1 year	2 year	3 year	5 year	7 year	10 year	20 year	30 year
30/09/20	0.11	0.12	0.13	0.16	0.28	0.47	0.69	1.23	1.46
30/09/21	0.05	0.09	0.28	0.53	0.98	1.32	1.52	2.02	2.08
30/09/22	3.92	4.05	4.22	4.25	4.06	3.97	3.83	4.08	3.79

Use the liquidity premium theory to answer the following questions:

(a) According to the table, what is the market predicting about the movement of future short[1]term interest rates in each of the three periods? Explain your answer using the shape of the yield curve.

(b) In September 2021, the spread between the six-month and 10-year Treasury bonds is the highest out of three years. Why is that the case?