How Chinese People Respond to Praise?

John: Chén Wěi, nǐ nǚ péngyou zhēn piàoliang!
John:  陈      伟，你 女   朋友       真     漂亮！
John: Chen Wei, your girlfriend is so beautiful!
Chén Wěi: Năli năli!
陈      伟： 哪里哪里！
Which of the following did you see in this dialogue?
A. Chen Wei doesn’t think his girlfriend is beautiful.
B. Chen Wei is being modest about his girlfriend.
C. Chen Wei doesn’t know where his girlfriend is.