C and D always move in the same direction (hence the 1.00 correlation), while A and B
always move in opposite directions (hence their -1.00 correlation).
A perfect inverse correlation -LRB--1.00) would mean that two assets
always move in opposite directions.
Price and yield
always move in opposite directions for a fixed rate security.
Bonds and stocks don't
always move in opposite direction; often they behave similarly, especially if you are buying bond funds and not individual bonds where you have an option of waiting till maturity and ignoring bond market fluctuations.
Not exact matches
Typically (but not
always) bonds
move in the
opposite direction of stocks.
A -1 indicates an absolute negative correlation (they
always move together
in opposite directions of each other).
Of course, there is
always the risk that the
opposite of the desired principle will be established on appeal, so I work with clients to carefully evaluate the pros and cons of attempting to
move the law
in a particular
direction.