Asymmetric Impact of Exchange Rate Changes on Stock Prices: Empirical Evidence from Germany
Journal: International Journal of Economics and Financial Research (Vol.3, No. 11)Publication Date: 2017-11-15
Authors : Nadia Anjum; Niaz Hussain Ghumro; Bisharat Husain Q;
Page : 240-245
Keywords : : Asymmetry; NARDL; Germany; stock market.;
- Asymmetric Impact of Exchange Rate Changes on Stock Prices: Empirical Evidence from Germany
- Relationship between Exchange Rate and Stock Prices: Empirical Evidence from Cambodia
- The Effects of Dividend Policy on Share Prices: Empirical Evidence from the Zimbabwe Stock Exchange
- Hasan Yousef El-MousawiStudying the Impact of Exchange Rate Fluctuations on the Stock Returns-an Empirical Study on the Stock Companies Listed in the Damascus Securities Exchange During the Crisis Period
- AN IMPACT OF INFLATION AND EXCHANGE RATE ON STOCK RETURNS: EVIDENCE FROM INDIA
Abstract
This study examines whether shifts in exchange rate has symmetric or asymmetric impact on stock prices in Germany. Linear and nonlinear autoregressive distribution lag models are applied by using monthly data from the period January 1993 till April 2017. Findings suggest that only currency devaluation affects stock prices which implies asymmetric impact of changes in exchange rate on stock prices. The empirical results from this study would be useful for policymaking as well as for forecasting the impact of exchange rate changes on stock prices.
Other Latest Articles
- Tests of Efficiency in the Foreign Exchange Market
- Implications of Exchange Rate Fluctuation and Economic Performance: The Nigerian Experience
- Globalization, Trade, and Interdependence
- Exploiting Uncovered Interest Rate Parity Failure Using Russian Ruble
- International Capital Flows and Inclusive Growth in Nigeria
Last modified: 2018-11-06 17:16:03