Bonds Part 2: What Else Affects Price Movements?

Bonds Part 2: What Else Affects Price Movements?

In the previous article on bonds (“Part 1”) I gave an analogy to help readers understand how bond prices can move based on how the interest rate environment changes. Let’s go back to that bank lobby where we’ll pretend that you can buy and sell CDs to illustrate how other things can effect bond prices.…
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Bonds Part 1: The Difference Between Price and Yield

The way the media reports day to day bond market activity can be confusing. The reason is that they can either choose to focus on price or yield to convey what they did that day. One reporter may say “prices on bonds rose today” and another may say “yields on bonds fell today” and they…
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