Studies show that the short-term relationship between inflation rate changes and nominal stock return changes is
A) strongly positive.
B) moderately inverse.
C) strongly inverse.
D) not statistically significant.

Question

Quizplus · Accepted Answer

Studies show that the short-term relationship between inflation rate changes and nominal stock return changes is not statistically significant. This means that there is no conclusive evidence of a relationship between the two variables in the short term.

Studies Show That the Short-Term Relationship Between Inflation Rate Changes