in an efficient market, the price of a security will: a rise sharply when new in
ID: 2646295 • Letter: I
Question
in an efficient market, the price of a security will:
a rise sharply when new information is first released and then decline to a new stable level by the following day. b always rise immediately upon the release of new information with no further price adjustments related to that information. c react immediately to new information with no further price adjustments related to that information. d react to new information over a two-day period after which time no further price adjustments related to that information will occur. e be slow to react for the first few hours after new information is released allowing time for that information to be reviewed and analyzed.Explanation / Answer
in an efficient market, the price of a security will:
c react immediately to new information with no further price adjustments related to that information.
Note : In market the new information will react market immediately even there is no correction in price
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.