The confidence index is computed from ____________, and higher values are considered ____________ signals.
A) bond yields; bearish
B) odd lot trades; bearish
C) odd lot trades; bullish
D) put/call ratios; bullish
E) bond yields; bullish

Question

Quizplus · Accepted Answer

The confidence index is computed from bond yields, and higher values are considered bullish signals. This index typically compares the yields of high-grade bonds to those of lower-grade bonds, with the idea being that a higher index suggests investors are more confident, favoring the lower yields of high-grade bonds over the higher yields of riskier, lower-grade bonds.

The Confidence Index Is Computed from ____________, and Higher Values