I don't think you understand bonds. The rates don't float once issued. They discount the price in order to sell at a certain yield at time of issue. After th

I don't think you understand bonds. The rates don't float once issued. They discount the price in order to sell at a certain yield at time of issue. After that, the prices float in the market based on current rates, but it's not a very liquid market. I own bonds with like 2.5% coupon and nobody will buy them and the estimated price is just that, an estimate, because nobody will actually buy them. I can hold to maturity and be made whole. I just missed out on buying higher rate bonds for the duration. It's fine. I honestly don't know what the Fed does or how it does it. I think if you dig deep enough, it's like that Rick & Morty episode where Rick brings down the entire Galactic Bug Empire by changing a "1" to a "0" in their computer system, thereby making their entire currency immediately worthless. Monetary systems work on trust until they don't. Then there is a world war.