G
gunnert
Member
Hi,
Please could someone explain to me why bond prices rise if interest rates fall?
I would have thought that a rise in interest rates would cause the coupon payments to be bigger, pushing demand for (and hence the price of) the bond up.
Thanks
Please could someone explain to me why bond prices rise if interest rates fall?
I would have thought that a rise in interest rates would cause the coupon payments to be bigger, pushing demand for (and hence the price of) the bond up.
Thanks