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Open AccessJournal ArticleDOI

Behavioral finance and market efficiency in the time of the COVID-19 pandemic: does fear drive the market?

TLDR
In this article, the efficiency of the US stock markets during the COVID-19 outbreak using a fundamental financial analysis approach, the constant growth model and a behavioral model was examined.
Abstract
In this study, we examine the efficiency of the US stock markets during the COVID-19 outbreak using a fundamental financial analysis approach, the constant growth model and a behavioral model inclu...

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Citations
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Explaining stock markets' performance during the COVID-19 crisis: Could Google searches be a significant behavioral indicator?

TL;DR: The findings show that the Google Search index enables us to draw statistically significant information regarding the impact of the COVID‐19 fear on the performance of the stock markets.
Journal ArticleDOI

Influence of COVID-induced fear on sovereign bond yield

TL;DR: In this paper, the influence of fear generated by the coronavirus on bond markets was analyzed, and the relationship between the sentiment of fear and bond markets and the performance of financial markets was explored.
Journal ArticleDOI

The COVID-19 pandemic uncertainty, investor sentiment, and global equity markets: Evidence from the time-frequency co-movements

TL;DR: In this article , a time-frequency based wavelet approach comprising wavelet coherence and phase difference was used to measure pandemic uncertainty and its effect on stock market activity, while controlling the effect of the Financial and Economic Attitudes Revealed by Search (FEARS) sentiment index.
Journal ArticleDOI

Investor sentiment and government policy interventions: evidence from COVID-19 spread

TL;DR: In this article, the authors investigated the role of government policy interventions on the early spread of novel coronavirus (COVID-19) on the investor sentiment and stock returns relationship.
Journal ArticleDOI

Public attention, oil and gold markets during the COVID-19: Evidence from time-frequency analysis

TL;DR: In this article , the authors evaluate the relationship between public attention to the COVID-19 pandemic, crude oil, and gold markets in the G7 countries over time and frequency.
References
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Journal ArticleDOI

Investigating Causal Relations by Econometric Models and Cross-Spectral Methods

TL;DR: In this article, the cross spectrum between two variables can be decomposed into two parts, each relating to a single causal arm of a feedback situation, and measures of causal lag and causal strength can then be constructed.
Book

Thinking, Fast and Slow

TL;DR: Buku terlaris New York Times and The Economist tahun 2012 as mentioned in this paper, and dipilih oleh The NewYork Times Book Review sebagai salah satu dari sepuluh buku terbaik tahune 2011, Berpikir, Cepat and Lambat ditakdirkan menjadi klasik.
Journal ArticleDOI

Testing the null hypothesis of stationarity against the alternative of a unit root: How sure are we that economic time series have a unit root?

TL;DR: In this paper, a test of the null hypothesis that an observable series is stationary around a deterministic trend is proposed, where the series is expressed as the sum of deterministic trends, random walks, and stationary error.
Book

Nudge: Improving Decisions About Health, Wealth, and Happiness

TL;DR: In Nudge as discussed by the authors, Thaler and Sunstein argue that human beings are susceptible to various biases that can lead us to blunder and make bad decisions involving education, personal finance, health care, mortgages and credit cards, the family, and even the planet itself.
Journal ArticleDOI

Does the Stock Market Overreact

TL;DR: In this article, a study of market efficiency investigates whether people tend to "overreact" to unexpected and dramatic news events and whether such behavior affects stock prices, based on CRSP monthly return data, is consistent with the overreaction hypothesis.
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Trending Questions (1)
Can behavioral finance effect the market efficiency?

Behavioral finance can affect market efficiency, as discussed in the paper. The study examines the efficiency of US stock markets during the COVID-19 outbreak using a behavioral model.