Sentences with phrase «bond values respond»
Similarly, bond values respond differently to changes in interest rates depending on their durationDuration Duration is a way to compare bonds with different interest rates and terms.
https://www.getsmarteraboutmoney.ca/ Not exact matches
Also, when you buy a CD through a broker, the only way to get your money out early is to sell the CD, and since the value of a brokered CD responds to interest rate changes like a bond, the value of a brokered CD could decline significantly if interest rates were to increase.
This is effective because the values of bonds with strong credit ratings and those of bonds with weak credit ratings respond differently to changes in the economy.