Finance and Economics Discussion Series: What Explains the Stock Market's Reaction to Federal Reserve Policy - Brossura

Bernanke, Ben S; Kuttner, Kenneth N

Brossura

ISBN 10: 1288713215 ISBN 13: 9781288713219

Casa editrice: BiblioBazaar, LLC, 2013

Riassunto

This paper analyzes the impact of changes in monetary policy on equity prices, with the objectives both of measuring the average reaction of the stock market and also of understanding the economic sources of that reaction. We find that, on average, a hypothetical unanticipated 25-basis-point cut in the federal funds rate target is associated with about a one percent increase in broad stock indexes. Adapting a methodology due to Campbell (1991) and Campbell and Ammer (1993), we find that the effects of unanticipated monetary policy actions on expected excess returns account for the largest part of the response of stock prices.

Dettagli dell?edizione

• Editore: BiblioBazaar, LLC
• Data di pubblicazione: 2013
• Lingua: Inglese
• ISBN 10: 1288713215
• ISBN 13: 9781288713219
• Rilegatura: Copertina flessibile
• Numero di pagine: 60
• Contatto del produttore: non disponibile
• Persona responsabile: non disponibile