
Sick stocks
It’s cold and flu season. And no one is immune, not even Wall Street.
That’s the notion Brian McTier, a WSU Vancouver-based business school faculty member, and his colleagues explored when examining the impact of influenza on the U.S. stock market. McTier has been examining external events that might affect the stock market that weren’t normally modeled. Those effects include class action suits in securities, electronic funds transfer errors driven by sentiment, and the flu.
For the study, which is being published in the Journal of Financial and Quantitative Analysis, the authors started with the hypothesis that high rates of influenza could affect trading as … » More …