Tje Fed dropped its policy rate from 1.5% to zero in March,2020 in response to the economic lockdown due to the pandemic. You have two bonds in your portfolio: A and B. Bond A has been downgraded from AAA to BBB whereas Bond B has been upgraded from B to BB by Moody's. What is the net effect on bind prices of the police rate drop and credit chargers?

A. Bond B prices would definitwly increase

B. Both prices would defenitely increase

C. Bond B price would definetily decrease but bond A price would definetly increase.

D. Both A and B prices would decrease

E. Bond A prices would definitely increase