Major world events impact on stock market prices: -An event study
Independent thesis Basic level (degree of Bachelor), 10 credits / 15 HE creditsStudent thesis
Purpose – The purpose with this study is to, in light of the globally integrated world economy, examine the impact of Major World Events (MWE) on international stock market prices.Design/methodology/approach – The study uses an exploratory approach, in order to obtain a deeper insight in the phenomena, and to capture any price changes within an index, an event study methodology has been conducted.
Findings – The authors found that stock markets react differently from certain categories of MWE. The only significant occurrence of spillover effects following a MWE was to be found for “positive” and “neutral” political events, and to “negative” economical events. Additionally, the authors provide evidence of that European stock markets follow similar patterns regarding in what extent they are affected when a MWE occurs.
Place, publisher, year, edition, pages
2014. , 40 p.
Major World Events, Abnormal returns, Stock Markets, Spillover effects and Internationalisation.
IdentifiersURN: urn:nbn:se:uu:diva-226793OAI: oai:DiVA.org:uu-226793DiVA: diva2:727314
Subject / course
Bachelor Programme in Business and Economics
De Ridder, Adri