Financial markets are generally recognized as being semi-strong form efficient, which means:

a. all available information, both public and private, is reflected in current prices

b. all publicly available information is reflected in current prices

c. only all past price information is reflected in current prices

d. there is no opportunity for consistently earning returns on investments

As interest rates increase, bond prices generally

a. increase

b. do not change, because they are fixed by contract

c. do not change, because the prices are offsetting the rate increases

d. decrease