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Intraday Patterns, Announcement Effects, and Volatility Persistence in the Japanese Government Bond Futures Market

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Author Info
Weihua Shi () (College of Business, The University of Southern Mississippi-Gulf Coast, Long Beach, MS 39560, USA)
Larry Eisenberg (School of Management, New Jersey Institute of Technology, Newark, NJ 07102, USA)
Cheng-few Lee (Rutgers Business School, Rutgers University, Piscataway, NJ 08854, USA; School of Business, Kainan University, Luzhu, Taoyuan County, 33857, Taiwan)

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Abstract

Following Bollerslev et al. (2000), this study characterizes the high-frequency volatility of the Japanese Government Bond (JGB) futures on the Tokyo Stock Exchange (TSE) in terms of intraday calendar effects, announcement effects and volatility persistence effects. The results indicate that, unlike the case for the US Treasury bond futures, only four out of 21 scheduled macroeconomic announcements are found to have a significant impact on volatilities, and their instantaneous and daily influences are rather small. At both instantaneous and daily frequencies, volatility persistence effects have the largest influence on volatility, while macroeconomic announcements have only a negligible impact.

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Publisher Info
Article provided by World Scientific Publishing Co. Pte. Ltd. in its journal Review of Pacific Basin Financial Markets and Policies.

Volume (Year): 12 (2009)
Issue (Month): 01 ()
Pages: 63-85
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Handle: RePEc:wsi:rpbfmp:v:12:y:2009:i:01:p:63-85

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Related research
Keywords: Intraday patterns; announcement effects; volatility persistence;

Find related papers by JEL classification:
G1 - Financial Economics - - General Financial Markets
G2 - Financial Economics - - Financial Institutions and Services
G3 - Financial Economics - - Corporate Finance and Governance

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This page was last updated on 2009-11-26.


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