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Consider the following statement: Local Systems Ltd released its annual earnings figure a month ago. On the day of the announcement, the companys return was
Consider the following statement: Local Systems Ltd released its annual earnings figure a month ago. On the day of the announcement, the companys return was 1.5%, while its expected return on that day was 0%. Since the announcement, the companys stock price has continued to increase gradually, to this day. Critically discuss this statement, in the context of the notion of market efficiency.
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