Impact of bond yields on price
In the financial markets, interest rates are constantly changing, and these changes will influence bond prices as the interest rate you use to discount the cash-flows of the bond (the yield) changes.
To get a better feel for how the prices of bonds behave with respect to yields, you will price a bond using a set yield to maturity, then price the same bond using both a higher and lower yield to maturity and see how this affects the bond price.
numpy_financial has already been imported for you as npf.
Cet exercice fait partie du cours
Bond Valuation and Analysis in Python
Exercice interactif pratique
Essayez cet exercice en complétant cet exemple de code.
# Find the price of a 10 year bond with 3% coupon and 4% yield
bond_yield_4 = -npf.pv(rate=____, nper=____, pmt=____, fv=____)
# Print the result
print("4% Yield Price: ", ____)