The "Flight to Safety" in the Fall of 2007 Led

Multiple Choice

The "flight to safety" in the fall of 2007 led investors to ________, which led to ________.

A) buy BAA rated corporate bonds; a decline in stock prices
B) buy T-bills; a rise in the spread between LIBOR rates and T-bill yields
C) purchase stocks; a sharp increase in the S&P 500
D) oil futures; a spike in natural gas prices
E) buy foreign exchanges; a rapid appreciation of the euro