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

A) interest rates decline.
B) interest rates increase.
C) the prices of Treasury notes decrease.
D) the price of the S&P 500 Index increases.
E) None of the options are correct.

Treasury Notes Futures

Futures contracts based on U.S. Treasury notes, which are debt securities issued by the U.S. government with maturities ranging from two to ten years.

Interest Rates

The cost of borrowing money, typically expressed as a percentage of the principal, paid by the borrower for the use of borrowed funds.

Long Position

Owning or buying securities with the expectation that their value will increase over time, allowing the investor to profit from the appreciation.