An increase in the volume of security offerings shown on the forward calendar would, other things held equal, lead financial analysts to forecast lower interest rates as security dealers attempt to lighten their inventories of unsold securities.

Question

Quizplus · Accepted Answer

An increase in the volume of security offerings typically leads to higher interest rates, as issuers must offer more attractive yields to entice buyers to absorb the larger supply of securities.

An Increase in the Volume of Security Offerings Shown on the Forward