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Intervention Effects on Bond Prices. U.S. bond prices

Intervention Effects on Bond Prices. U.S. bond prices 


1.	Effects on Currencies Tied to the Dollar. The Hong Kong dollar- value is tied to the U.S. dollar. Explain how the following trade patterns would be affected by the appreciation of the Japanese yen against the dollar: (a) Hong Kong exports to Japan and (b) Hong Kong exports to the United States. 

2.	Intervention Effects on Bond Prices. U.S. bond prices are normally inversely related to U.S. inflation. If the Fed planned to use intervention to weaken the dollar, how might bond prices be affected? 




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16 Apr 2016

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    Intervention Effects on Bond Prices. U.S. bond prices

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