Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/294936 
Year of Publication: 
2020
Citation: 
[Journal:] Junior Management Science (JUMS) [ISSN:] 2942-1861 [Volume:] 5 [Issue:] 3 [Year:] 2020 [Pages:] 295-311
Publisher: 
Junior Management Science e. V., Planegg
Abstract: 
Weather affects people's mood, according to psychological studies. For example, low temperature can cause aggression, whereas high temperature can induce apathy. Therefore, it may be possible that weather-influenced mood, driven by mood's impact on decision-making, exerts an influence on investment decisions and risk-taking behaviour. Thereby, it might also impact stock market returns. I examine market returns of nine industries in Germany. Empirical results illustrate two findings. First, a statistically significant, negative correlation between market returns and temperature, second, a different effect of weather on industrial sectors is identified. A significant correlation can be found for six out of nine sectors.
Subjects: 
Stock markets
investor behaviour
weather effect
market returns
decision-making
Persistent Identifier of the first edition: 
Creative Commons License: 
cc-by Logo
Document Type: 
Article
Appears in Collections:

Files in This Item:
File
Size
748.66 kB
227 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.