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Is It Better To Buy Bonds When Interest Rates Are High Or Low? [Solved]

Relationship Between Bond Prices and Interest Rates The reason for this inverse relationship is that when interest rates increase, new bonds offer higher coupon payments. Existing bonds with lower coupon payments must decline in price in order to be worthwhile investments to would-be buyers.

What happens to my bond when interest rates rise?

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Investing in Bonds while Interest Rates are Rising - Wise or Bad Move?

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Bond Tutorial - What Bonds To Buy During Rising Interest Rates

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