Bond Prices, Rates, and Yields - Fidelity
https://www.fidelity.com/learning-center/investment-products/fixed-income-bonds/bond-prices-rates-yields
WEBPrevailing interest rates rise to 5%. Buyers can get around 5% on new CDs, so they'll only be willing to buy your bond at a discount. In this example, the price drops to 91, meaning they are willing to pay you $18,200 ($20,000 x .91). At a price of 91, the yield to maturity of this CD now matches the prevailing interest rate of 5%. 3.
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