An unexpected fall in Retail Sales should send bond prices __________ and stock prices __________.
A) up; up
B) up; down
C) down; up
D) down; down

Question

Quizplus · Accepted Answer

An unexpected fall in Retail Sales is typically seen as a negative indicator for the economy, leading investors to buy bonds as a safer investment, which drives bond prices up. Conversely, it can signal lower future profits for companies, leading to a decrease in stock prices.

An Unexpected Fall in Retail Sales Should Send Bond Prices