What causes volatility in the stock market

3 Jun 2019 A trader looks at a volatile stock market chart made up of newspaper the economic and policy causes behind stock market volatility. Recent studies have argued that stock market volatility is not constant over time. For example, Schwert has estimated monthly volatility from 1836 to 1987. 11 Jul 2019 If it is economic developments that cause stock price changes, as the for long- term market timing (price discipline) that causes price volatility. that causes stock market volatility. Thus, this study attempts to measure the volatility of different sectors. in Colombo Stock Exchange (CSE) and to recognize the

17 Jan 2018 Stock market volatility is at all-time lows and investors are betting big that The cause of the currently low volatility is hard to determine exactly

12 Feb 2018 The stock market was down, way down, see-sawing, way up, topsy turvy, way down and The VIX volatility index set a number of all-time lows during that stretch. Stocks don't cause economic downturns, and the market is a Prior to the GFC, trading volume Granger-causes volatility in the first lag level. However, the returns of emerging stock markets Granger-cause and positively

tury), considerable attention has been paid to overall stock market volatility. Econo- cause the predictability is weak, however, the problem of incorrect use of

1 Jun 2018 If you pay any attention to the stock market, you probably know it can be volatile. Over the past decade, we have seen the Great Recession all

movement of S&P 500 and oil price can cause contagion effects in the South- East Asia stock markets. These results conclude that stock market volatility and

Prior to the GFC, trading volume Granger-causes volatility in the first lag level. However, the returns of emerging stock markets Granger-cause and positively 7 Jan 2011 This paper examines the extent to which the conditional volatility of stock market returns in a small, internationally integrated stock market are The stock market often exhibits volatility in reaction to what’s going on in the world — especially when those developments are sudden or unexpected. Getty Images. If you pay any attention to the stock market, you probably know it can be volatile. Here's What Really Causes Market Volatility By definition, "volatility" is the tendency of something to change quickly and unpredictably -- but when the trend of stock prices is moving chaotically

One paper ([11]) shows that stocks that covary a lot with the market when the map policy uncertainty to uncertainty in financial markets which causes volatility.