Their sales, often in panic, have further lowered the value of bonds.
The value of bonds plunged and so did the dollar.
Lower rates tend to enhance the value of bonds already in circulation.
You have warned that the value of bonds drops as interest rates rise.
Lower rates would increase the value of bonds already in circulation.
It also would erode the value of bonds, which have fixed interest rates.
Either inflation or higher interest would reduce the value of existing Government notes and bonds.
The outstanding value of international bonds increased by 2% in 2011 to $30 trillion.
When interest rates increase, the value of existing bonds falls, since new issues pay a higher yield.
Rising prices add to the value of bonds and notes while reducing the yields.