3 ms·

Would stock markets be jumpy after rates announcement?

• JumpCrisscross 4y ago
  > Would stock markets be jumpy after rates announcement? “Announcement effects appear somewhat ambiguous for the [British] stock market” [1]. For the last year, it’s largely been high P/E tech stocks that have reacted viciously to rates announcements. The rest of the market is less sensitive to small changes in rates (jargon: duration). And/or it’s better at pricing it in ex ante. [1] https://www.sciencedirect.com/science/article/abs/pii/S1057521904001000 https://www.sciencedirect.com/science/article/abs/pii/S10575...