An investor with a short position in Treasury notes futures will profit if

A) interest rates decline.
B) interest rates increase.
C) the prices of Treasury notes increase.
D) the price of the long bond increases.
E) None of the options are correct.

Treasury Notes Futures

Financial contracts obligating the buyer to purchase and the seller to sell U.S. Treasury notes at a predetermined future date and price.

Interest Rates

The cost of borrowing or the return on savings, often set by a central bank, influencing economic activity.

Short Position

A trading strategy where an investor sells a security they do not own, speculating that its price will decline, allowing them to buy it back at a lower price for a profit.