What effect do soccer matches have on stock market returns?

Follow             bakadesuyo on Twitter

We analyse the effect of results of football matches on the stock market performance of football teams. We analyse 1274 matches of eight teams in the national and European competition during 2000-2004. We find that the stock market response is significant and positive for victories and negative for defeats. The response is significantly stronger in the case of defeat. The response is stronger for matches in the European competition than for those in the national competition. Unexpected results have a stronger impact for European matches than expected ones but this is not the case in the national competition.

Source: “Scoring on the stock exchange? The effect of football matches on stock market returns: an event study” from Applied Economics, 2009, vol. 41, issue 25, pages 3231-3237

Follow me on Twitter here or get updates via email here.

Related Posts:

How predictable are the FIFA worldcup football outcomes?

Do people work less in the US when the World Cup is going on?

Things you didn’t know about sports


Tags:
Posted In:
Post Details