When there are events that promote economic growth in the news, what usually

happens to stock prices?

A. Stock prices in all industries go up

B. Stock prices in all industries go down

C. Stock prices go up in some industries and down in other

industries

D. Not enough information

C. Stock prices go up in some industries and down in other

Some have to lose for others to win. And it is as simple as this principle, which conveys that stock prices of some of the industries go up and of some industries go down. However, sometimes demand is very huge, and in all the sectors, and which is rare but a little probability is there definitely, and hence in that case stock prices of all the industries can go up at the same time. Hence, we don't have complete information if we think like that. However, some pairs of products have an inverse relationship between them, as they are complementary, and some are substitutes. If the demand of one out of them (complementary ones) increases, then demand of the other one decreases, like coffee and tea. An increase in the demand for coffee is going to lower the demand for tea and vice versa,

Thus, C. Stock prices go up in some industries and down in the other is the correct answer.

Explanation:

The Answer is self explanatory.