• DocumentCode
    727634
  • Title

    The impact of central bank´s open-market operations to the return rate of stocks

  • Author

    Aizhou Su ; Wenbin Bao ; Xilu Bao

  • Author_Institution
    Sch. of Econ.& Manage., Nanjing Univ. of Sci.& Technol., Nanjing, China
  • fYear
    2015
  • fDate
    22-24 June 2015
  • Firstpage
    1
  • Lastpage
    4
  • Abstract
    We often see that media report net injection as good news and withdrawal as bad news. However, this article finds that their impact to stock market´s return rate is not evident, while the declarations of sell repo, reverse repo and central bank bills have significant influence on it. We discover that behavior finance theory can explain this phenomenon better, and various classical biases are also found in investors´ decisions reacting to central bank´s operations.
  • Keywords
    decision making; investment; public finance; stock markets; behavioral finance theory; central bank bills; central bank open-market operations; investor decision; net injection; return rate of stocks; reverse repo; sell repo; stock market return rate; withdrawal; Economic indicators; Finance; Instruments; Psychology; Stock markets; Systematics; behavioral finance theory; event study; open-market operations; psychology of investors;
  • fLanguage
    English
  • Publisher
    ieee
  • Conference_Titel
    Service Systems and Service Management (ICSSSM), 2015 12th International Conference on
  • Conference_Location
    Guangzhou
  • Print_ISBN
    978-1-4799-8327-8
  • Type

    conf

  • DOI
    10.1109/ICSSSM.2015.7170165
  • Filename
    7170165