Compute the Pearson product-moment correlation coefficient to determine the strength of the…

How strong is the correlation between the inflation rate and 30-year treasury yields? The following data published by Fuji Securities are given as pairs of inflation rates and treasury yields for selected years over a 35-year period.

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Inflation Rate

30-Year Treasure Yield

1.57%

3.05%

2.23

3.93

2.17

4.68

4.53

6.57

7.25

8.27

9.25

12.01

5.00

10.27

4.62

8.45

Compute the Pearson product-moment correlation coefficient to determine the strength of the correlation between these two variables. Comment on the strength and direction of the correlation.