scholarly journals Effect of money supply on the Dow Jones Industrial Average stock index

2012 ◽  
Vol 60 (2) ◽  
pp. 399-408
Author(s):  
Martin Širůček
Keyword(s):  
Stock Market ◽  
Money Supply ◽  
Asset Prices ◽  
Share Price ◽  
Stock Index ◽  
Price Indices ◽  
Monetary Aggregate ◽  
Dow Jones Industrial Average ◽  
The Us ◽  
The Usa

This focus of this paper are the effects and implications of a change in the money supply for share price indices in the USA during 1959–2011. The money supply will be measured by the M2 and MZM aggregates (money with zero maturity). The US stock market is represented by the Dow Jones Industrial Average index. The objective of this paper is to find, describe and evaluate the effects of changes to the money supply (M2 and MZM) on the US stock market. A partial objective of this paper is to determine whether a change in the monetary aggregate shows in the stock index immediately or with a delay of several weeks. Another aim is to determine whether asset prices influence the money supply.

scholarly journals Impact of money supply on stock bubbles

2013 ◽  
Vol 61 (7) ◽  
pp. 2835-2842 ◽  
Author(s):  
Martin Širůček
Keyword(s):  
Money Supply ◽  
Empirical Analysis ◽  
Capital Market ◽  
Stock Index ◽  
Bubble Rise ◽  
Market Capitalization ◽  
Macroeconomic Factor ◽  
Dow Jones Industrial Average ◽  
The Us ◽  
Average Index

This article focuses on the effect and implications of changes in money supply in the US on stock bubble rise on the US capital market, which is represented by the Dow Jones Industrial Average index. This market was chosen according to the market capitalization. The attention of the paper is drawn to issues – if according to the results of empirical analysis, the money supply is a significant factor which causes the bubbles and if during the time the significance and impact of this macroeconomic factor on stock index increase.

Defeating the Minotaur: The Construction of CEO Charisma on the US Stock Market

2006 ◽  
Vol 27 (6) ◽  
pp. 811-832 ◽  
Author(s):  
Angelo Fanelli ◽  
Nora Ilona Grasselli
Keyword(s):  
Stock Market ◽  
Charismatic Leadership ◽  
Top Down ◽  
Active Involvement ◽  
Securities Analysts ◽  
The Us ◽  
Organizational Symbolism ◽  
The Usa ◽  
Ceo Successions ◽  
Securities Analyst

This paper illustrates the construction of CEO charisma within the US stock market. By metaphorically employing the myth of the Minotaur, we discuss three forces underlying the rise of heroic CEO images in the USA: Ariadne, or charismatic leadership theory and its formulation of charisma; Theseus, or the CEOs struggling to obtain power over stock market actors; and the Minotaur, or the stock market itself and the securities analyst profession. Building on the literature on organizational symbolism, we present a qualitative study of two CEO successions, focusing on the form and content of the persona and the vision projected by CEOs and elaborated by securities analysts. The results suggest that jointly constructing charisma through discourse, CEOs and analysts enact a form of power that does not lie in top-down coercion, but rather on the emergent, active involvement and contribution of its very subjects.

Intensity of shock transmission amid US-BRICS markets

2015 ◽  
Vol 10 (3) ◽  
pp. 311-328 ◽  
Author(s):  
P. Lakshmi ◽  
S. Visalakshmi ◽  
Kavitha Shanmugam
Keyword(s):  
Stock Market ◽  
Granger Causality ◽  
Stock Markets ◽  
Subprime Mortgage ◽  
Content Type ◽  
Brics Countries ◽  
Long Run ◽  
The Us ◽  
The Usa ◽  
Short Run

Purpose – The purpose of this paper is to analyze the intensity of transmission of shocks from USA to BRICS countries in the long-run and short-run deviations and swiftness of recovery during US subprime mortgage crisis. This analysis enables the authors to explore the evolving patterns of relationships between these markets and examine whether their co-movements altered either in response to international shocks that originated in advanced markets like USA or due to their domestic fluctuations. Design/methodology/approach – Employing data of daily stock market indices (open and close) of BRICS countries for the period January 2, 2001 to May 31, 2012, this paper examines the interactions and characteristics of price movements of BRICS with US market by applying co-integration tests, vector error correction model and Granger causality relationship. The daily stock market indices data are derived from respective stock exchange web sites. Findings – The results exhibit that both long-run co-integration relationships and short-run Granger causality relationships exist between the stock markets of US-BRICS. Furthermore, this nexus is amplified in the short-run during 2007-2009, when the subprime mortgage financial crisis in the USA cropped up. This finding lends support to the prominence of developed (US) market links in the proliferation of persistent co-movements of BRICS stock markets. Research limitations/implications – The findings imply an increasing degree of global market integration due to quick dissemination of global shocks originating from developed market like USA, and swift recovery which can be attributed to the increased resilience, consistent with the moderated level of domestically driven risk in the BRICS markets. In spite of their similarities, long-run and short-run interdependences with the US stock market exhibit differences among the BRICS. This can be attributed to the regional heterogeneity in long-run risk and return co-movements with the USA. Practical implications – Changes from the US index easily affect these stock markets in the short-run, which implies that the US index may act as a leading indicator for investing funds in BRICS markets. Originality/value – This study would enable the authors to understand whether BRICS economies actually remain resilient to adverse developments in USA and could serve as alternative investment destinations for global portfolio diversification.

The Economic Impact of University Technologies

2005 ◽  
Vol 19 (3) ◽  
pp. 217-220 ◽  
Author(s):  
Alfred R. Berkeley
Keyword(s):  
Technology Transfer ◽  
Stock Market ◽  
Economic Impact ◽  
Annual Meeting ◽  
Vice Chairman ◽  
The Past ◽  
The Us ◽  
The Usa ◽  
Technology Managers

This article is an edited version of a speech given by Alfred R. Berkeley, former President and Vice-Chairman of the NASDAQ Stock Market Inc, as part of the 30th anniversary celebrations of the US Association of University Technology Managers (AUTM) during the 2004 AUTM Annual MeetingSM. The article stresses the increasingly important role of technology transfer in the economic and social futures of the USA and points up lessons for technology transfer professionals from the key changes and policy decisions that have driven the development of America's capital markets over the past few decades.

scholarly journals PENGARUH KRISIS EKONOMI AMERIKA SERIKAT TERHADAP BURSA SAHAM DAN PERDAGANGAN INDONESIA

2013 ◽  
Vol 15 (3) ◽  
pp. 89-103
Author(s):  
Mita Nezky
Keyword(s):  
Stock Market ◽  
Income Tax ◽  
Stock Price ◽  
Value Added ◽  
Vector Autoregressive ◽  
Production Index ◽  
Svar Model ◽  
Dow Jones Industrial Average ◽  
The Us ◽  
The Impact

This paper analyzes the impact of the financial crisis in United States 2008 on Indonesia’s economy, by using Structural Vector Autoregressive (SVAR) model of 5 variables; Dow Jones Industrial Average, exchange rate, composite stock price index (IHSG), production index and trade tax income. The result shows that the US crisis affects the capital market in Indonesia where the Dow Jones Industrial Average plays greater role in explaining the IHSG, compared to Rupiah rate, production index and the trade income tax. In addition, the US crisis affects the volume and the trade income tax in Indonesia. These empirical results bring policy implication for Bappepam-LK as stock market regulator to intervene or to suspend the trade when the volatility exceeds the psychological threshold. It also emphasizes the necessity to diversify the export country destination and to increase the quality and the value added of Indonesian export.Keywords : US Crisis, stock market, trade, SVAR.JEL Classification : G18

scholarly journals Sunspots, GDP, and the Stock Market

2021 ◽  
Author(s):  
THEODORE MODIS
Keyword(s):  
Stock Market ◽  
Term Trend ◽  
Dow Jones Industrial Average ◽  
The Us ◽  
Long Term Trend ◽  
Future Horizon

A correlation has been observed between the US GDP and the number of sunspots as well as between the Dow Jones Industrial Average and the number of sunspots. The data cover 80 years of history. The observed correlations permit forecasts for the GDP and for the stock market in America with a future horizon of 10 years. Both being above their long-term trend they are forecasted to go over a peak around Jun-2008.

scholarly journals Government expenditures in the support of technological innovations and impact on stock market and real economy: the empirical evidence from the US and Germany

Equilibrium ◽  
2020 ◽  
Vol 15 (4) ◽  
pp. 717-734
Author(s):  
Jana Kotlebova ◽  
Peter Arendas ◽  
Bozena Chovancova
Keyword(s):  
Stock Market ◽  
Stock Markets ◽  
Industry 4.0 ◽  
Value Added ◽  
Fiscal Sustainability ◽  
Stock Index ◽  
Government Expenditures ◽  
Annual Data ◽  
Real Economy ◽  
The Us

Research background: The current changes in the global stock markets are related to the next wave of the industrial revolution ?Industry 4.0?. It is expected that the Industry 4.0 will lead to an acceleration of the innovation process and growth of volumes of tailor-made products. The stock markets started to react to the upcoming technological changes over the last decade, which are reflected by the changes in the composition of the major stock indices where the technological sector started to grow in importance. But innovations are not only connected with the specialized technological sector, but they are also of direct concern to the whole spectrum of economic entities. Besides the private investments that are usually allocated via the stock market, also the public sector investments play an important role. Purpose of the article: The aim of this paper is to investigate the relationship between government expenditures on research and development (R&D) and stock markets (and GDP) in the US and in Germany. Methods: We use the tools of descriptive analysis as well as correlation and regression methods of estimation. Findings & Value added: Our research confirms that the collection of data on R&D on annual basis for Germany and the US is insufficient for analytical and systemic management purposes. The real effects of investments in the R&D are time lagged. The regression analysis of annual data confirms only the statistical importance of patent applications as well as interest rate and stock index as independent variables in explanation of variability of real economy growth during the 1985?2017 period. Our model did not prove the significance of government expenditures. We can explain it, among others, by the fact that governments do not pay sufficient attention to the challenges yet, which are associated with the Industry 4.0, especially in the US, where the government expenditures in R&D gradually decrease. The governments in both economies try to increase their support, but fiscal sustainability is a limiting factor.

scholarly journals Influence of non-monetary information signals of the USA on the Ukrainian stock market volatility

2019 ◽  
Vol 16 (1) ◽  
pp. 319-333 ◽  
Author(s):  
Roman Pavlov ◽  
Tetiana Pavlova ◽  
Anna Lemberg ◽  
Oksana Levkovich ◽  
Iryna Kurinna
Keyword(s):  
United States ◽  
Stock Market ◽  
Price Index ◽  
Consumer Price Index ◽  
The United States ◽  
Market Volatility ◽  
Stock Index ◽  
Stock Market Volatility ◽  
Economic Sectors ◽  
The Usa

The Ukrainian PFTS stock index volatility reaction as a whole and its constituent economic sectors (“Basic Materials”, “Financials”, “Industrials”, “Oil & Gas”, “Telecommunications”, “Utilities”) to seven non-monetary US information signals (“Consumer price index”, “Personal spending”, “Unemployment rate”, “Gross domestic product”, “Industrial production”, “Consumer confidence”, “Housing starts”) was carried out for the period 2000–2017 on the basis of closing stock quotations in the trading day format. To assess the “surprise” component direct influence nature of the USA selected non-monetary information signals on the PFTS stock index, an AR-GARCH econometric modelling device was used. The results achieved clearly indicate the presence of some PFTS stock index economic sectors heterogeneous reaction to the United States individual non-monetary information signals announcement. For example, such economic sectors as “Basic Materials”, “Financials”, and “Oil & Gas” volatility response to the US non-monetary information signal “Consumer price index” “surprise” components the opposite of the overall PFTS stock index reaction. It can also be concluded that the United States non-monetary information signals influence on the Ukrainian stock market volatility depends not only on the financial cycle phase and data frequency, but also on the PFTS stock index economic sector.

scholarly journals Sector Wise Stock Market Performance during Pre and Post Covid Era

2021 ◽  
Vol 11 (2) ◽  
pp. 200-205
Author(s):  
Dr. Avijit Sikdar
Keyword(s):  
Stock Market ◽  
Capital Market ◽  
Stock Price ◽  
Listed Companies ◽  
Share Price ◽  
Daily Return ◽  
Banking And Finance ◽  
Stock Market Performance ◽  
Significant Difference ◽  
The Usa

The spread of the Covid-19 pandemic has an unprecedented and immense impact on the world economy as well as the Indian economy. The stock market, treated as a barometer of the economic activity of any country is adversely affected. Not even in India, countries like Germany, France, the USA, and Spain have been strongly affected. Nationwide lockdown, restriction on the transportation system, demand-supply disequilibrium lead to slow down in the economy and create a fear factor among the participants of the capital market. Rapid fall in the share price and increased volatility are identified during this period.  The present study tries to compare the stock price return volatility, no of the transaction, and delivery percentage of various listed companies listed on BSE during the pre and post COVID 19 periods to examine the effect of this pandemic on the economy as a whole. Period of Study: In this paper, we have consideredthe pre-covid period from 1st September 2019 to 15th March 2020 and post covid period from 16th March 2020 to August 2020. Sample: for this study, we have selected 50 BSE listed Companies covering 5 sectors, viz. Pharma, Automobile, Industrial Products, Banking and Finance, and Consumer Goods. Statistical Method: We have used paired sample t-test for comparing the arithmetical mean of different capital market parameters for these two sub-periods for each sector separately and standard deviation of daily return as a measure of volatility. Conclusion: From the study, we have observed that average daily share price; average daily return; daily no. of transactions and volatility is significantly different from pre and post covid period for most of the sectors. However, we have not perceived any significant difference in the delivery percentage of traded shares of these sectors between two study periods.

DETRENDED FLUCTUATION ANALYSIS OF THE US STOCK MARKET

2008 ◽  
Vol 18 (02) ◽  
pp. 599-603 ◽  
Author(s):  
APOSTOLOS SERLETIS ◽  
OLGA YU. URITSKAYA ◽  
VADIM M. URITSKY
Keyword(s):  
Stock Market ◽  
Fluctuation Analysis ◽  
Information Efficiency ◽  
Daily Data ◽  
Dow Jones Industrial Average ◽  
The Us ◽  
Intrinsic Correlation ◽  
Efficient Markets Hypothesis ◽  
Market Trends ◽  
Detrended Fluctuation

This paper extends the work in [Serletis & Shintani, 2003; Elder & Serletis, 2007; Koustas et al.; Hinich & Serletis, 2008] by re-examining the empirical evidence for random walk type behavior in the US stock market. In doing so, it uses daily data on the Dow Jones Industrial Average, over the period from January 3, 1928 to March 15, 2006, and a statistical-physical approach — "detrended fluctuations analysis" — providing a reliable framework for testing the information efficiency in financial markets as shown by Uritskaya [2005a, 2005b] and Uritskaya and Uritsky [2001]. The approach eliminates nonstationary market trends and focuses on the intrinsic correlation structure of stock market fluctuations at different time scales which is studied relative to random walks models. Our results indicate that the US stock market operates close to the state predicted by the efficient markets hypothesis. The observed transient deviations from this state are shown to have a statistical origin, consistent with a purely random geometric Brownian motion.

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