Topic: Markets
Across 145 Years and 17 Countries, a Common Thread in Risky Credit Booms
Do investors misprice assets, revise their risk appetite or make some other misjudgment?
Options Market Signals Scope of Federal Reserve Interventions
Traders see an implicit promise beyond specific asset purchases
What Limited Attention Does to Efficient Market Theory
Stocks don’t react to news immediately because, well, we’re human
Banks Transmit Financial Shocks, Including from Natural Disasters
How a localized flood may result in fewer loans to a far-off community
What Happens to Pesos When Dollars Go Digital?
As major central banks adopt digital currency, emerging countries will feel mixed effects
A Solution to the Debate over Momentum’s Cause?
Investors may underreact when information arrives in small, continuous bits
The Collective Wisdom of Options Trades as Interest Rate Predictor
Skewness, measuring the range of biases, strongly suggests rate moves
How Bond and Stock Prices Combine to Influence Corporate Investment
Equity volatility can encourage — or dampen — investment, depending on a firm’s bond spread
As Passive Investing Spreads, Overall Market Becomes Less Competitive
Active investors take up some — but not all — of the slack created by index funds
When Financial Intermediaries Sneeze, These Assets Catch a Cold
Some investment vehicles are more reliant than others on the health of trading firms
Treasury Securities Are Actually Cheap Sometimes
They don’t trade at an absolute equal to intrinsic value, despite their image as the world’s investment bedrock
Often Reviled, Short Sellers Are Newly Vulnerable to the Meme Mob
A short squeeze can ripple across short sellers’ positions
Separating Auditing from Consulting: More Complex than it Seems
Market concentration, price and quality drive choice of firms
Borrowings Suggest Small Company Owners Face Higher Risk
Analysis uses business credit card loans to gauge market perception
Market Bubbles Aren’t Entirely Irrational Exuberance
A model examines the relationships between innovation, speculation and market values