The Stock Market's Reaction to Unemployment News: Why Bad News is Usually Good for Stocks
John H. Boyd; Ravi Jagannathan; Jian Hu;
jel: jel:G1 | jel:E3
We find that on average an announcement of rising unemployment is 'good news' for stocks during economic expansions and 'bad news' during economic contractions. Thus stock prices usually increase on news of rising unemployment, since the economy is usually in an expansi... View more
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