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You own a bond that has a duration of 6 years. Interest rates are currently 10%, but you believe the Fed is about to
You own a bond that has a duration of 6 years. Interest rates are currently 10%, but you believe the Fed is about to decrease interest rates by 25 basis points. Your predicted price change on this bond is 1.36% -2.7.2% -1.36% 2.72%
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