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Strategies & Market Trends : VOLTAIRE'S PORCH-MODERATED

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To: Jim Willie CB who wrote (34880)3/28/2001 5:15:52 PM
From: freeus  Read Replies (2) of 65232
 
Aha! OK. Plus I bought the bond slightly under par because the price had gone down, although it was an almost-new bond, because Motorola had layoffs. But they still pay $1000 on a $1000 bond at maturity no matter what you paid.
So I made a little there too, especially if the market shows signs of being alive again and I sell at a profit.
But if the bond goes up in price because rates are falling, and if I keep it a few years, won't it go back down in price(on the open market) as maturity nears?
Freeus
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