TY - JOUR
T1 - Psychological oil price barrier and firm returns
AU - Narayan, Paresh Kumar
AU - Narayan, Seema
N1 - Publisher Copyright:
© 2014, © The Institute of Behavioral Finance.
Copyright:
Copyright 2014 Elsevier B.V., All rights reserved.
PY - 2014/10/2
Y1 - 2014/10/2
N2 - In this paper, we investigate the psychological barrier effect induced by the oil price on firm returns when the oil price reaches US$100 or more per barrel. We find evidence of the negative effect of the US$100 oil price barrier for: (a) the entire sample of 1559 firms listed on the American stock exchanges; (b) both foreign and domestic firms, with domestic firms significantly more affected; (c) the 10 different sizes of firms, with the smaller firms less affected compared to the larger firms; and (d) 17 sectors of firms, with firms in the utilities, mining, and administration sectors being the least affected.
AB - In this paper, we investigate the psychological barrier effect induced by the oil price on firm returns when the oil price reaches US$100 or more per barrel. We find evidence of the negative effect of the US$100 oil price barrier for: (a) the entire sample of 1559 firms listed on the American stock exchanges; (b) both foreign and domestic firms, with domestic firms significantly more affected; (c) the 10 different sizes of firms, with the smaller firms less affected compared to the larger firms; and (d) 17 sectors of firms, with firms in the utilities, mining, and administration sectors being the least affected.
KW - Firm returns
KW - Oil price
KW - Psychological barrier
UR - http://www.scopus.com/inward/record.url?scp=84915763140&partnerID=8YFLogxK
U2 - 10.1080/15427560.2014.968719
DO - 10.1080/15427560.2014.968719
M3 - Article
AN - SCOPUS:84915763140
SN - 1542-7560
VL - 15
SP - 318
EP - 333
JO - Journal of Behavioral Finance
JF - Journal of Behavioral Finance
IS - 4
ER -