SIE Exam Question 70: Answer and Explanation

Question: 70

The stock market will be negatively impacted by all of the following except

  • A. an increase in taxation.
  • B. a money supply reduction.
  • C. an interest rate reduction.
  • D. reduced government spending.

Correct Answer: C

Explanation:

Falling interest rates will have a positive effect on stock market performance. An increase in taxes, or a reduction in the money supply or government spending, will negatively impact the stock market.

All content of site and practice tests © 2022 Jack.
Quick View

FINRA Practice Tests