Weather-Induced Moods and Stock-Return Autocorrelation

Moods affect investors’ attention, memory, and capacity to process information. Inattentive investors delay the price adjustment process, thus leading to a positive autocorrelation of asset returns. In this study, I investigate the relationship between weather-induced moods and stock-return autocorrelation in the Stock Exchange of Thailand from January 2, 1991, to December 29, 2017. Only good moods contribute significantly to return autocorrelation.

Language:: English

Publication timeframe:: 2 times per year
Journal Subjects:: Business and Economics, Political Economics, Macroecomics, Public Finance and Fiscal Theory, Business Management, Marketing, Sales, Customer Relations, Management, Organization, Corporate Governance

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Weather-Induced Moods and Stock-Return Autocorrelation

Anya Khanthavit

Published Online: Jun 08, 2020

Page range: 19 - 33

DOI: https://doi.org/10.2478/zireb-2020-0002

Keywordsinformation processing, moods, limited attention, return autocorrelation, weather effects

© 2020 Anya Khanthavit, published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Keywords
information processing, moods, limited attention, return autocorrelation, weather effects