Weather effects on returns: An empirical study of UK stock market

This study investigates the weather effects on UK stock market. Three weather variables of London are examined: sunshine hours, temperature and humidity level. FTSE100 index is chosen as the proxy of UK stock market. The period of the sample data is covered from January 1996 to December 2005. Both t...

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Bibliographic Details
Main Author: Zhao, Juan
Format: Dissertation (University of Nottingham only)
Language:English
Published: 2011
Online Access:https://eprints.nottingham.ac.uk/25133/
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author Zhao, Juan
author_facet Zhao, Juan
author_sort Zhao, Juan
building Nottingham Research Data Repository
collection Online Access
description This study investigates the weather effects on UK stock market. Three weather variables of London are examined: sunshine hours, temperature and humidity level. FTSE100 index is chosen as the proxy of UK stock market. The period of the sample data is covered from January 1996 to December 2005. Both the weather effects on returns and volatility are studied with several methodologies. Empirical results show that extreme sunshine and temperature conditions and their interaction conditions have impacts on stock returns and volatility. This provides an evidence to support for behavioral finance against efficient market hypothesis (EMH) in that not all investors all fully rational and stock price may have other determinants other than its fundamental value.
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format Dissertation (University of Nottingham only)
id nottingham-25133
institution University of Nottingham Malaysia Campus
institution_category Local University
language English
last_indexed 2025-11-14T18:52:10Z
publishDate 2011
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spelling nottingham-251332022-03-21T14:05:04Z https://eprints.nottingham.ac.uk/25133/ Weather effects on returns: An empirical study of UK stock market Zhao, Juan This study investigates the weather effects on UK stock market. Three weather variables of London are examined: sunshine hours, temperature and humidity level. FTSE100 index is chosen as the proxy of UK stock market. The period of the sample data is covered from January 1996 to December 2005. Both the weather effects on returns and volatility are studied with several methodologies. Empirical results show that extreme sunshine and temperature conditions and their interaction conditions have impacts on stock returns and volatility. This provides an evidence to support for behavioral finance against efficient market hypothesis (EMH) in that not all investors all fully rational and stock price may have other determinants other than its fundamental value. 2011-09-22 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/25133/1/final_DT.pdf Zhao, Juan (2011) Weather effects on returns: An empirical study of UK stock market. [Dissertation (University of Nottingham only)] (Unpublished)
spellingShingle Zhao, Juan
Weather effects on returns: An empirical study of UK stock market
title Weather effects on returns: An empirical study of UK stock market
title_full Weather effects on returns: An empirical study of UK stock market
title_fullStr Weather effects on returns: An empirical study of UK stock market
title_full_unstemmed Weather effects on returns: An empirical study of UK stock market
title_short Weather effects on returns: An empirical study of UK stock market
title_sort weather effects on returns: an empirical study of uk stock market
url https://eprints.nottingham.ac.uk/25133/