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according to the efficient market hypothesis, when is new information incorporated into price of a stock? over a week...

according to the efficient market hypothesis, when is new information incorporated into price of a stock?

over a week
immediately
Depends on how difficult to understand is the information

in a few hours
business   finance   
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Answer #1

According to Efficient Market Hypothesis , all new information related to price of a stock will be immediately incorporated into its price. All the price sensitive information will be reflected on its stock prices at any given time. As a result of this no investor can outperform the market since the stock will be appropriately priced with all the available information.

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