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What change will bond price experience

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A financial firm holds a bond in its investment portfolio whose duration is 15 years. Its current market price is $975. While market interest rates are currently at 6 percent for comparable quality securities, an increase in interest rates to 6.75 percent is expected in the coming weeks. What change (in percentage terms) will this bond's price experience if market interest rates change as anticipated?

Reference no: EM132698081

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