The market price of a stock moves or fluctuates daily. This fluctuation is:
A) inconsistent with the semi-strong efficient market hypothesis because prices should be stable.
B) inconsistent with the weak form efficient market hypothesis because all past information should be priced in.
C) consistent with the semi-strong form of the efficient market hypothesis because as new information arrives daily prices will adjust to it.
D) consistent with the strong form because prices are controlled by insiders.
Correct Answer:
Verified
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