Final answer:
A stop-loss order is an order to sell a stock when its price drops to a specified level, limiting the investor's potential losses. A rise in supply in the financial market leads to a decline in interest rates, while an increase in demand or supply can raise the number of loans made.
Step-by-step explanation:
The order to sell a stock when the market price drops to or below a specified level is known as a C) stop-loss order. A stop-loss order is designed to limit an investor's loss on a security position. For example, setting a stop-loss order for 10% below the price at which you bought the stock will limit your loss to 10%. This type of order remains in effect until the stock is sold at the specified limit price, or the order is canceled.
Financial Market Changes and Interest Rates
In the context of the financial market, a decline in interest rates is typically caused by c) a rise in the supply of money. When there is more money available for lending, which can happen due to various factors like increased savings or monetary policy actions by the central bank, the price of borrowing that money, which is the interest rate, tends to go down.
On the other hand, an increase in the number of loans made and received is often a result of a) a rise in demand for loans or c) a rise in the supply of available funds for lending. When more people or businesses want to borrow money, or there is more money being supplied into the lending market, more loans will likely be distributed.