Question: Based on the correlation matrix you created, answer the following: Which security has the strongest positive relationship with the S&P 500 index? Why do you
Based on the correlation matrix you created, answer the following: Which security has the strongest positive relationship with the S&P 500 index? Why do you think this is the case? Which security has the strongest positive relationship with the risk-free rate? Why do you think this is the case? Which two individual stocks have the strongest positive relationship with each other? Why do you think this is the case? Question ) - Correlation Matrix 3 SP500 04 03 105 506 006 007 XOM GM VZ NVDA rf SPSOO 1 0.586818907 0.780199067 0.67019888 0.374226073 0.496564834 -0.197478733 0.586818907 1 0.498771212 0.395095972 0.434494017 0.07494982 -0.016131172 XOM 0.780199067 0.498771212 1 0.555884636 0,438975638 0.269980807 -0.162814667 GM 0.67019888 0.395095972 0.555884636 1 0.151598503 0.341513302 -0.182237452 V2 0.374236073 0.434494017 0.438975638 0.151598503 1 0.101300401 -0.018907935 NVDA 0.496564834 0.07494982 0.269980807 0.341513302 0.101300401 1 -0.315543556 -0.197478733 -0.016131172 -0.162814667 -0.182237452 -0.018907935 -0.315543556
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