2016 - 19th Annual Steven Galovich Memorial Student Symposium

Presentation Title

The Effect of War on Financial Markets in the US

Student Presenter(s) and Advisor

Kristina Simeunovic, Lake Forest College

Location

Library First Floor

Abstract

This presentation analyzes the effects war has on the returns in U.S. financial markets. The empirical study employs quarterly prices of the Dow Jones Industrial Average index from October 1960 to September 2015 and applies a time series model in order to determine the effects on prices during U.S. war involvements overseas. Results show that even though official war has a negative effect on the quarterly returns from the Dow Jones Industrial Average index, different types of war can have an increasing or decreasing impact on DJIA real returns. This has important implications for investors today and in the future.

Presentation Type

Individual Presentation

Start Date

4-5-2016 9:00 AM

End Date

4-5-2016 10:15 AM

Panel

Decision Making in Financial Markets and Consumption

Panel Moderator

Carolyn Tuttle

Field of Study for Presentation

Finance

No downloadable materials are available for this event.

Share

Import Event to Google Calendar

COinS
 
Apr 5th, 9:00 AM Apr 5th, 10:15 AM

The Effect of War on Financial Markets in the US

Library First Floor

This presentation analyzes the effects war has on the returns in U.S. financial markets. The empirical study employs quarterly prices of the Dow Jones Industrial Average index from October 1960 to September 2015 and applies a time series model in order to determine the effects on prices during U.S. war involvements overseas. Results show that even though official war has a negative effect on the quarterly returns from the Dow Jones Industrial Average index, different types of war can have an increasing or decreasing impact on DJIA real returns. This has important implications for investors today and in the future.