The Holiday Effect : Evidence From Cross Listed Stocks

The weekly performance of IBM stock presented a contestant growth. One highlight of the falling of stock price in the 6th week in the investment period was when IBM presented the 3rd quarter financial report. The investors weren’t satisfied with the profit report which they expected to be better especially when other IT companies were doing well in the 3rd quarter. One mistake I made was that I didn’t follow closely to the financial report of the company; therefore, I missed the peak of the stock price. From this experience, I learned that financial reports and current news are important indicators of the stock price. By following closely to the current event and analyzing the financial report, investors can maximize the profit and also become more familiar to the market.

The research shows that the earnings announcements of firms within an industry can impact the share prices of other firms in the same industry. This effect has been labelled as the ‘information transfer effect’. The ‘information transfer effect’ highlights the belief that share prices react to public information emanating from various sources—including

The three-year SAIC stock price data and its corresponding SSE index are obtained from finance.yahoo.com, as it provides dividend-adjusted closing prices. The two data are ordered in time in Excel (Sort Ascending). It is found that 46 SAIC daily stock prices are missing due to suspension of trading, therefore; 46 corresponding SSE daily index are removed in order to match up dates on the two data series.

A great number of studies further identified several factors which particularly concerns market capitalisation, effective of stock market, etc., which explains the dynamic forces of stocks returns during the earnings announcements date in an organised manner. For instance, Atiase (1985) found that unexpected information pass on to the market by actual earnings report is inversely correlated to the company’s capitalisation. Grant (1990) observed that the market in which a company’s securities are traded often determined the behaviour of stocks return around the earnings announcements. Several other studies have aimed to organise for synchronise factors by using time series data such as intra-day and daily data. However, a fairly number of more robust studies has examined the information content of macroeconomics news releases. Elsharkawy and Garrod (1996), Pope and Inyangete (1992).

Around the holidays the opportunities for attacks from terrorist is prominent because of the amount of people in stores and malls. The holiday season usually begins before the week of Thanksgiving. Therefore, everybody should be alert and vigilant to all suspicious activities during this time frame and afterward. However, officially, the holiday season for shoppers start the evening of Thanksgiving and thereafter. During the holiday season both men and women, boys and girls love

Shopping during the holidays benefits both the consumers and producers. Due to an increase of shoppers, the producer’s lower their prices but still receive a profit due to the large amount of consumers during these times. As crazy as Black Friday shopping is, I will be making my way to the stores for the lower

In this article, “Is the efficient market hypothesis day-of-the-week dependent,”, Stephen Pop reveals significant evidence that the efficient market hypothesis is day-of-the-week-dependent. Overall, for only 62% of firms, the unit root null hypothesis is rejected on all the five trading days. He also discovers that when investors do not account for unit root properties in devising trading strategies, they obtain spurious

The ASX200 Return diagram demonstrates the share return from 2nd Jan 2006 to 30th Jun 2014. It shows high volatilities between Aug 2007 to Jun 2010 and Jul 2011 to Jan 2012, the returns of US dollar, and this turbulence in Australia stock market may cause by bad economic news and unstable economic

The title of this article is: “Rising Wages, Tighter Inventory Spark Retail Holiday Optimism.” This article, written by Wall Street Journal reporter Suzanne Kapner, focuses on wages, supply and price. As the election season turns into the holiday season, department stores are experiencing improving sales trends. This is good news for companies such as Saks Fifth Avenue, Macy’s Inc. and Kohl’s Corp., which have experienced recent quarters of declining sales due to changes in shopping habits and competition from discounters.

The stock markets have had an enjoyable ride higher since the election. The S&P 500 stock market index has advanced over 10% since then. The stocks markets have recently reached all-time highs and it is understandable that investors want to be more aggressive. Most of this recent market advance is based upon the belief that the new administration will pursue policies which are favorable to corporate America.

impact of these announcements on stock returns is found to be marginally positive with +0.44

In traditional financial theories, the most important assumption is the efficient market. However, numerous evidences show investors’ behaviour does not exactly match with the technical analysis from these models, and their emotion is the important factor resulting in the bias (Baker and Nofsinger 2002). Of which, the weather is one of the significant variables that affect the investors’ mood (Loughran and Schultz 2004). In this essay, I will discuss the issue whether the weather affects the stock market by providing various literatures evidences and my personal opinion. Whether the findings in the literatures violate the efficient market hypothesis is also examined.

Holidays have always been known to affect our consumer culture for many years, but how it all began eludes many people and very few studies have been completed on it. Even though some say that the subject is too broad to precisely identify how holidays, especially Christmas, directly affect our market, I have found that people’s values, expectations and rituals related to holidays can cause an excessive amount of spending among our society. Most people are unaware that over the centuries holidays have become such a profitable time of year for industries that they now starting to promote gift ideas on an average of a month and a half ahead of actual holiday dates to meet consumer demands.

To capture the cross-border contagion in proceeds, the research will utilize the value approach that will test whether the trial observations in the filtered returns are related across nations. Trial observations are the filtered returns in the lower deciles of a nation’s time series allotment over the whole sample period. The research will use the logit model to tackle the problem of contagion by approximating whether a specified nation is more expected to have the worst return in a specified week, restricted to other countries having as well experienced the worst return in the preceding week. The dependent variable is an indicator variable that is set to one in case the local nation index under study has a weekly return in the lower deciles of every weekly proceeds for that nation and zero otherwise (Morrison & White, 2013 p. 645). To evaluate

In 1986, Clifford W. Smith Jr., took note of some very important patterns about the stock market’s