A photocell is any of a wide range of sensors that react based on the presence of light or electromagnetic energy. They can be found in many different forms, from solar panels that use light to generate electricity, to photoresistors, which shift in resistance based on how much light is present.
Bond prices and yields are like a seesaw: when bond yields go up, prices go down, and when bond yields go down, prices go up. In other words, a move in the 10-year Treasury yield from 2.2% to 2.6% indicates negative market conditions, while a move from 2.6% to 2.2% indicates positive market performance.
However, higher risk means higher potential reward: A bond with higher duration will have larger gains when interest rates fall than a similar bond with a lower duration. The impact of a change in interest rates on a bondâs price, or its interest rate risk, is measured by the bondâs duration.n the case of a bond with a duration of 8, a 1% rise in market interest rates would cause the bond to decrease in value 8%. Conversely, a 1% fall in interest rate would cause the bondâs value to increase by 8%.