scholarly journals When Politics is Quoted on the Stock Market. Case Study – Romania

2017 ◽  
Vol 22 (2) ◽  
pp. 124-133
Author(s):  
Diana Elena Vasiu
Keyword(s):  
Stock Market ◽  
Stock Markets ◽  
Stock Exchange ◽  
Point Of View ◽  
Multiple Objective ◽  
Political Events ◽  
The Press

Abstract The stock markets are considered to be the most sensitive markets, the variation of the titles course being generated by multiple objective and subjective factors. When social or political events take place, the stock market is rising or falling, and the press takes over and disseminates this information. Starting from this context, we analyze the measure in which the Bucharest Stock Exchange (BSE) reacted at times agitated from a social and political point of view, in the last period.

scholarly journals The influence of rumors in the stock market: a case study with Petrobras

2013 ◽  
Vol 25 (3) ◽  
pp. 187-193 ◽  
Author(s):  
Fábio Marques da Cruz ◽  
Maria Yêda Falcão Soares de Filgueiras Gomes
Keyword(s):  
Stock Market ◽  
Trading Volume ◽  
Stock Exchange ◽  
Price Fluctuations ◽  
Knowing That ◽  
Cash Market ◽  
The Press ◽  
The Media ◽  
A Company

This paper analyzes the influence of rumors on price fluctuations in the Stock Exchange of São Paulo between 2007 and 2011, through a case study with Petrobras, a company whose stock had the largest trading volume within the period. For this purpose we used the historical prices of cash market provided by the stock exchange. The communications in which Petrobras provides clarifications regarding unofficial information disclosed in the press were also collected from the stock exchange website. The analysis of these documents helped to create a diagram to represent the information about the rumors and categorize them by subject. This diagram was applied to a database to store the information collected from the company’s communications. Then this information was retrieved to analyze the influence of rumors on price movements. The results confirm that the company’s responses to rumors influence price fluctuations of its stock. At eagerness for information to dilute uncertainty, investors make decisions based on rumors betting on the credibility of the media that disclose them, even though knowing that the information is not always reliable.

Impact of political events on stock market returns: empirical evidence from Pakistan

2014 ◽  
Vol 30 (1) ◽  
pp. 60-78 ◽  
Author(s):  
Mian Sajid Nazir ◽  
Hassan Younus ◽  
Ahmad Kaleem ◽  
Zeshan Anwar
Keyword(s):  
Stock Market ◽  
Stock Markets ◽  
Stock Exchange ◽  
Market Returns ◽  
Government Structure ◽  
Stock Market Returns ◽  
Content Type ◽  
Noisy Information ◽  
Political Events ◽  
Study Methodology

Purpose – The purpose of this paper is to investigate the relationship between uncertain political events and Pakistani Stock Markets from May 1999 to December 2011. Design/methodology/approach – Using the mean-adjusted return model and event study methodology and by comparing the market efficiency between the two government style, i.e. autocratic and democratic, the authors determined that how uncertain political events are affecting Pakistani Stock Markets. Findings – The empirical result shows that political events have an impact on the Karachi Stock Exchange (KSE) returns. Moreover, the paper derives from the results that the KSE is inefficient for a short span of time, after 15 days KSE absorbs the noisy information. The political situation in Pakistan was more stable in autocratic government structure than in democratic structure but it is difficult to state that the stock markets are more efficient in Autocracy because only few events took place during an autocratic regime and magnitude of events was not same in the autocratic and democratic government structure. Originality/value – This study is unique in its nature as it examines the effect of multiple political events on stock market returns in Pakistan simultaneously and is expected to contribute significantly in the capital market literature of Pakistan in particular.

scholarly journals influence of rumors and its consequences in dynamics of stock market prices

2013 ◽  
Vol 7 ◽  
Author(s):  
Fábio Marques da Cruz ◽  
Maria Yêda Falcão Soares de Filgueiras Gomes
Keyword(s):  
Stock Market ◽  
Information Asymmetry ◽  
Stock Prices ◽  
Trading Volume ◽  
Stock Exchange ◽  
Spot Market ◽  
Perfect Competition ◽  
Market Prices ◽  
The Press

This work is part of an ongoing study that aims to analyze the influence of rumors on the price dynamics in the stock market, through a case study of companies whose shares are traded much among financial agents. For this purpose we used historical prices of securities traded in the spot market of Sao Paulo Stock Exchange in the years 2007 to 2011, from files available in its website. A sample of 10 companies was selected among the stocks with higher trading volume during this period to collect the documents presented for communication of relevant facts and clarifications in stock exchange’s site. Only communications presented on the period specified that provide clarification related to news and unverified information disclosed in the press were brought within the scope of data collection. Until now, only the company communications with the most actively traded stocks were collected, whose analysis allowed the categorization of information and creation of a diagram for representing information about the rumors treated on these documents. This diagram was applied to a database where the information collected was stored for later retrieval and analysis. From this information, asset prices were retrieved to analyze the influence of rumors reported by the press in the price fluctuation of the asset. The authors Kapferer, Müller and Martins form the theoretical framework. As a result, the research has identified some rumors that interfered in the stock prices, as well as classified the rumors about the issues they address. So, as many times the rumor rises from the void of knowledge and information asymmetry, it is noted that there is no perfect competition among financial agents.

Momentum Effect in Stock Market: Empirical Evidence from Pakistan Stock Exchange

2019 ◽  
Vol 12 (1) ◽  
Author(s):  
Shahid Rasheed ◽  
Umar Saood ◽  
Waqar Alam
Keyword(s):  
Stock Market ◽  
Empirical Evidence ◽  
Stock Markets ◽  
Stock Exchange ◽  
Momentum Effect ◽  
Using Data

This study aims to examine the momentum effect presence in selected stocks of Pakistan stock market using data from Jan 2007 to Dec 2016. This study constructed the strategies includes docile, equal weighted and full rebalancing techniques. Data was extracted from the PSX – 100 index ranging from 2007 to 2016. STATA coding ASM software was used for calculating momentum portfolios, finally top 25 stocks were considered as a winner stocks and bottom 25 stocks were taken as a loser stocks. In conclusion, the results of the study found a strong momentum effect in Pakistan stock exchange PSX 100- index. As by results it has been observed that a substantial profit can earn by the investors or brokers in constructing a portfolio with a short formation period of three months and hold for 3, 6 and 12 months. There is hardly a study is present on the same topic on Pakistan Stock Exchange as preceding studies were only conducted on individual stock markets before merger of stock markets in Pakistan while this study leads the explanation of momentum phenomenon in new dimension i.e. Pakistan Stock Exchange. Keywords: Momentum, Portfolio, Winner Stocks, Loser Stocks

The Potential of The Hotel Industry In Pandemic Era Based On Finance Performance Point Of View, Case Study: Indonesia

2021 ◽  
Vol 1 (1) ◽  
pp. 111-123
Author(s):  
Anton Effendi ◽  
◽  
Bambang Hadi Prabowo
Keyword(s):  
Hospitality Industry ◽  
Stock Exchange ◽  
Hotel Industry ◽  
Secondary Data ◽  
Reliable Data ◽  
Point Of View ◽  
Threshold Autoregressive ◽  
Performance Point ◽  
Occupancy Rates

This article aims to investigate and analyze the potential of the hospitality industry by comparing the potential occupancy rates and hotel revenues of foreign and domestic tourists. This investigation uses an investigation of company data obtained from reports from hotel companies throughout Indonesia which are listed on the Indonesia Stock Exchange and secondary data obtained from world banks and other reliable data. This study uses behavioral data analysis using Threshold Autoregressive from 2000 to 2019. It was found that domestic tourists are a new hope that needs to be considered in surviving and restoring the hospitality industry after being exposed to the COVID-19 pandemic which has led hotel companies. temporarily closed operations and part of the hotel went bankrupt. Optimization of domestic tourists allowed the hotel industry to develop rapidly after the Covid-19 pandemic ended.

scholarly journals Could Mergers Become More Sustainable? A Study of the Stock Exchange Mergers of NASDAQ and OMX

2020 ◽  
Vol 12 (20) ◽  
pp. 8581
Author(s):  
Wenjing Xie ◽  
João Paulo Vieito ◽  
Ephraim Clark ◽  
Wing-Keung Wong
Keyword(s):  
Sustainable Development ◽  
Stock Market ◽  
Financial Markets ◽  
Stock Markets ◽  
Stock Exchange ◽  
International Treaties ◽  
National Policies ◽  
The Sustainable Development ◽  
Long Run ◽  
Stock Market Investors

This study investigates whether the merger of NASDAQ and OMX could reduce the portfolio diversification possibilities for stock market investors and whether it is necessary to implement national policies and international treaties for the sustainable development of financial markets. Our study is very important because some players in the stock markets have not yet realized that stock exchanges, during the last decades, have moved from government-owned or mutually-owned organizations to private companies, and, with several mergers having occurred, the market is tending gradually to behave like a monopoly. From our analysis, we conclude that increased volatility and reduced diversification opportunities are the results of an increase in the long-run comovement between each pair of indices in Nordic and Baltic stock markets (Denmark, Sweden, Finland, Estonia, Latvia, and Lithuania) and NASDAQ after the merger. We also find that the merger tends to improve the error-correction mechanism for NASDAQ so that it Granger-causes OMX, but OMX loses predictive power on NASDAQ after the merger. We conclude that the merger of NASDAQ and OMX reduces the diversification possibilities for stock market investors and our findings provide evidence to support the argument that it is important to implement national policies and international treaties for the sustainable development of financial markets.

scholarly journals Interdependence and Risk Comparison of Slovak, Hungarian and Polish Stock Markets: Policy and Managerial Implications

2019 ◽  
Vol 69 (2) ◽  
pp. 273-287 ◽  
Author(s):  
Florin Aliu ◽  
Besnik Krasniqi ◽  
Adriana Knapkova ◽  
Fisnik Aliu
Keyword(s):  
Stock Market ◽  
Stock Prices ◽  
Stock Markets ◽  
Stock Exchange ◽  
Weighted Average ◽  
Stock Index ◽  
Risk Level ◽  
Average Return ◽  
Monetary System ◽  
Managerial Implications

Risk captured through the volatility of stock markets stands as the essential concern for financial investors. The financial crisis of 2008 demonstrated that stock markets are highly integrated. Slovakia, Hungary and Poland went through identical centralist economic arrangement, but nowadays operate under diverse stock markets, monetary system and tax structure. The study aims to measure the risk level of the Slovak Stock Market (SAX index), Budapest Stock Exchange (BUX index) and Poland Stock Market (WIG20 index) based on the portfolio diversification model. Results of the study provide information on the diversification benefits generated when SAX, BUX and WIG20 join their stock markets. The study considers that each stock index represents an independent portfolio. Portfolios are built to stand on the available companies that are listed on each stock index from 2007 till 2017. The results of the study show that BUX generates the lowest risk and highest weighted average return. In contrast, SAX is the riskiest portfolio but generates the lowest weighted average return. The results find that the stock prices of BUX have larger positive correlation than the stock prices of SAX. Moreover, the highest diversification benefits are realized when Portfolio SAX joins Portfolio BUX and the lowest diversification benefits are achieved when SAX joins WIG20.

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