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Volume and skewness in international equity markets

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Author Info
Hutson, Elaine
Kearney, Colm
Lynch, Margaret

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Abstract

We examine the relation between trading volume and skewness in 11 international stock markets using daily and monthly data from January 1980 to August 2004. We construct single equation and VAR models of the relation between the first three moments of market returns and trading volumes. Our results show hitherto unrecognised channels of influence, and support the investor heterogeneity approach to explaining return asymmetries.

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File URL: http://www.sciencedirect.com/science/article/B6VCY-4R8MDP6-B/1/ff777e9b7e313bc217ce7e0663517795
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Publisher Info
Article provided by Elsevier in its journal Journal of Banking & Finance.

Volume (Year): 32 (2008)
Issue (Month): 7 (July)
Pages: 1255-1268
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Handle: RePEc:eee:jbfina:v:32:y:2008:i:7:p:1255-1268

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  1. Jokipii, Terhi, 2006. "Forecasting market crashes: further international evidence," Research Discussion Papers 22/2006, Bank of Finland. [Downloadable!]
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