Pls help Banks across the country are decreasing nominal interest rates. What will happen to the price of government bonds?

asked May 24, 2023 77.8k views

5 votes

Pls help

Banks across the country are decreasing nominal interest rates. What will happen to the price of government bonds?

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4 votes

Answer: Bond prices move inversely to interest rates, so as interest rates fall, the price of bonds rises.

Alpian answered May 30, 2023

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