Question 268871
a financial analyst believes that if interest rate decrease in a given period, then the probability that the stock market will go up is 0.80. the analyst further believes that interest rates have a 0.40 chance of decreasing during the period in question. given the above information, 
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what is the probability that the market will go up and interest rate go down during the period in question.
Prob(market up) = 0.8
Prob(interest down) = 0.40
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P(m up and i down) = 0.8*0.4 = 0.32
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Cheers,
Stan H.