The Stock Market's Reaction to Unemployment News: Why Bad News Is Usually Good for Stocks

By Stephen M. Horan. 2005

279 citations recorded by the source corpus.

Subfields: Sociology and Political Science

View Paper: https://www.semanticscholar.org/paper/3c5016924ee2fff07ff459d7afe723184d6e80b5

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In Sociology and Political Science

Citations in the corpus

The effect of macroeconomic news on stock returns: New evidence from newspaper coverage (2011, background): “Other studies, however, have shown that unemployment surprises change S&P 500 returns (Boyd et al. (2005), and McQueen and Roley (1993)). These papers recognize the fact that it is not only the surprise of the release that affects investors’ expectations and stock prices, but also the interpretation”
Applications of news analytics in finance: A review (2012, background): “Boyd, Hu, and Jagannathan (2005) find that market conditions can influence the types of news that are reported.”
When does the stock market listen to economic news? New evidence from copulas and news wires (2014, unknown): “Boyd et al. (2005) and McQueen and Roley (1993) ﬁnd that news about rising unemployment has a negative eﬀect on stock prices during economic contractions, since it can indicate lower corporate earnings and dividends, but a positive eﬀect during expansions, as it may signal a greater likelihood of…”
Bond Risk, Bond Return Volatility, and the Term Structure of Interest Rates (2012, background): “More recently, Boyd, Hu, and Jagannathan (2005) and Andersen, Bollerslev, Diebold and Vega (2005) have shown that stock returns, interest rates and exchange rates appear to respond to macroeconomic news differently over the business cycle, suggesting the existence of a business cycle component in…”
What Explains the Stock Market's Reaction to Federal Reserve Policy? (2005, background): “Boyd, Jagannathan , and Hu (2001) also considered the linkage between policy and stock prices.”
Predictive Regressions with Time-Varying Coefficients (2012, unknown): “…Dimson et al. (2002) present empirical evidence on time-varying correlations between various economic variables, McQueen and Roley (1993) and Boyd et al. (2005) find that the incorporation of news into stock prices varies with the business cycle, and Veldkamp (2005) and Van Nieuwerburgh and…”
The empirical risk–return relation: A factor analysis approach ☆ (2006, background): “One caveat with this argument is that announcements of macroeconomic data appear to have significant effects on asset prices (e.g., Boyd, Hu, and Jagannathan, 2005).”