Question
Go to the Student Stock Assignment file and find your stock.Following the provided instructions, download the daily stock history for 1999 for your stock and
Go to the Student Stock Assignment file and find your stock.Following the provided instructions, download the daily stock history for 1999 for your stock and for the S&P500 (ticker symbol ^GSPC).Compute the daily percentage return as shown.Using my SAS program 2.4 from page 10 of LN2.A as your template, regress the daily returns for 2019 for your stock on the daily returns on the S&P500.(Warning, it is not safe to put special character symbols into SAS, so don't put the symbol "&" in your program.Actually, the & symbol is a powerful tool in SAS.)
(a) Show the graphical output.
(b) Insert a vertical line for an arbitrary x-value.That line cuts the upper and lower 95% prediction lines provided by SAS in the graph.What are the approximate values of the lower and upper endpoints of the 95% prediction interval?
(c) What is the y being "predicted," above.The units are percent, but percent of what?
(d) Your line also crossed the darker region, creating a shorter interval.What are the approximate endpoints of that interval?What is the name of that interval?
(e) What is being estimated by that interval?
(f) The vertical line also crossed the y-hat line.What is the value of y-hat at that intersection?
(g) What population characteristic is being estimated by the y-hat value, above?
CF Industries Holdings Inc. Rand: 0.430924
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