Which one of the following is the most likely reason why a stock price might not react at all on the day that new information related to the stock's issuer is released? Assume the market is semi-strong form efficient. The news was positive. Investors tend to overreact. The information was expected. Company insiders were aware of the information prior to the announcement. Investors do not pay attention to daily news.
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Step 1: In a semi-strong form efficient market, all publicly available information is already reflected in the stock price. Show more…
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