An investment specialist claims that if one holds a portfolio that moves in opposite

direction to the market index like the All Ordinaries Index, then it is possible to

reduce the variability of the portfolio's return. In other words, one can create a

portfolio with positive returns but less exposure to risk. A sample of $26$ years of the

All Ordinaries index and a portfolio consisting of stocks of private prisons, which are

believed to be negatively related to the All Ordinaries index, is collected. A

regression analysis was performed by regressing the returns of the prison stocks

portfolio $(Y)$ on the returns of All Ordinaries index $(x)$ to prove that the prison

stocks portfolio is negatively related to the All Ordinaries index at a $5\%$ level of

significance. The results are given in the following Microsoft ${?}^{}$ Excel output.

Referring to the information above, to test whether the prison stocks portfolio is

negatively related to the All Ordinaries index, the measured value of the test statistic

is

$0\mathrm{.}072.$

$0\mathrm{.}357.$

$-7\mathrm{.}019.$

$-0\mathrm{.}503.$