strikethree

Hi,

Let me confirm the definition of the "Interest rate put opiton"...

Is underlying the "interest rate" ? not the "bond price" ?

If you draw the payoff diagram, horizontal axis represent "interest rate" ?
For example, below 1%(=strike rate), option value is negative(=-put premium),
and above 1%, the value of the option rising.

Or, "interest rate option" should be defined by underlying price(bond price) , not the "interest rate" ?

Sorry for my poor writing..

Any advice is appreciated..