Day-Of-The-Week Effects: Evidence From The Chinese Stock Markets

This study examines the day-of-the-week effects in the Hong Kong, Shanghai and Taiwan stock markets. The current findings on the mean returns and their volatility in the stock markets could be useful in designing the trading strategies and drawing investment decisions. Investors can use the day-of-...

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Bibliographic Details
Main Authors: Chia, Ricky Chee-Jiun, Liew, Venus Khim-Sen, Syed Azizi Wafa, Syed Khalid Wafa
Format: Article
Language:English
Published: Serials Publications 2011
Subjects:
Online Access:http://ir.unimas.my/id/eprint/18607/
http://ir.unimas.my/id/eprint/18607/7/DAY-OF-THE-WEEK%20EFFECTS%20%28abstract%29.pdf
Description
Summary:This study examines the day-of-the-week effects in the Hong Kong, Shanghai and Taiwan stock markets. The current findings on the mean returns and their volatility in the stock markets could be useful in designing the trading strategies and drawing investment decisions. Investors can use the day-of-the-week effects information to avoid and reduce the risk when investing in these 3 stock markets. Further analysis using TGARCH model, uncover asymmetrical market reactions on the positive and negative news, rendering doubts on the appropriateness of the previous research that employed the symmetrical GARCH model in their analysis of day-of-the-week effects.