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YTM 1 year YTM 2 year YTM 3 year YTM 4 year YTM 5 year YTM 6 year YTM 7 year YTM 8 year YTM
YTM 1 year | YTM 2 year | YTM 3 year | YTM 4 year | YTM 5 year | YTM 6 year | YTM 7 year | YTM 8 year | YTM 9 year | YTM 10 year | LP 1 year | LP 2 year | LP 3 year | LP 4 year | LP 5 year | LP 6 year | LP 7 year | LP 8 year | LP 9 year | LP 10 year |
2.25% | 2.50% | 3.00% | 3.40% | 3.80% | 4.00% | 4.30% | 4.60% | 4.75% | 5.00% | 0.00% | 0.05% | 0.10% | 0.15% | 0.20% | 0.25% | 0.30% | 0.35% | 0.40% | 0.45% |
Question 2) The YTM for bonds (see Columns F to Column O) and liquidity premiums (Column P to Column Y ) are given for terms to maturity of 1 to 10 years. Calculate: The expected one year interest rates under the expectations theory Calculate: The expected one year interest rates under the liquidity premium theory. Calculate: Explain the differences under the two theories. Display: Tables/charts with given data and answers
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