If I believe interest rates are heading down, I will do which of the following?
A)sell a call option
B)buy a call option
C)sell a put option
D)buy a put option

Name: If I believe interest rates are heading down, I will do which of the following? A)sell a call option B)buy a call option C)sell a put option D)buy a put option
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Question

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If interest rates are expected to decrease, bond prices are likely to rise. Buying a call option allows you to profit from the increase in bond prices.

If I Believe Interest Rates Are Heading Down, I Will