Impact of interest rate on bond duration?

Bond duration measures a bond's sensitivity to interest rate changes, indicating how much the price of a bond will fluctuate with interest rate movements. Generally, when interest rates rise, bond prices fall, leading to an increase in the bond's duration as investors require a higher yield. Conversely, when interest rates decline, bond prices increase, and the duration may decrease since the bond becomes less sensitive to further rate changes. Thus, higher interest rates typically result in longer duration and greater price volatility for existing bonds.