Did Congress trade ahead? Considering the reaction of US industries to COVID-19.
Identifieur interne : 000182 ( Main/Exploration ); précédent : 000181; suivant : 000183Did Congress trade ahead? Considering the reaction of US industries to COVID-19.
Auteurs : John W. Goodell ; Toan Luu Duc Huynh [Allemagne]Source :
- Finance research letters [ 1544-6131 ] ; 2020.
Abstract
During the ongoing COVID-19 pandemic in the US, there has been considerable media attention regarding several US legislators who traded stocks in late January through February 2020. The concern is that these legislators traded in anticipation of COVID-19 having a major impact on the financial markets, while publicly suggesting otherwise. We consider whether these legislator trades were in a time window, and of a nature, that would be consistent with trading ahead of the market. Towards this end, we assess the reactions of US industries to sudden COVID-related news announcements, concomitantly with an analysis of levels of investor attention to COVID. Results suggest that, at an industry-level, for legislator trading to be "ahead of the market" it needed to have been done prior to February 26, and involving the 15 industries we identify as having abnormal returns, especially medical and pharmaceutical products (positive); restaurants, hotels, and motels (negative); as well as services and utilities. These criteria are met by many of the legislator trades. Our results help to both parameterize concerns about this case of legislator trading; as well as provide insight into the reactions and expectations of investors toward COVID-19.
DOI: 10.1016/j.frl.2020.101578
PubMed: 32837361
PubMed Central: PMC7261360
Affiliations:
Links toward previous steps (curation, corpus...)
Le document en format XML
<record><TEI><teiHeader><fileDesc><titleStmt><title xml:lang="en">Did Congress trade ahead? Considering the reaction of US industries to COVID-19.</title><author><name sortKey="Goodell, John W" sort="Goodell, John W" uniqKey="Goodell J" first="John W" last="Goodell">John W. Goodell</name><affiliation><nlm:affiliation>College of Business Administration, The University of Akron, Akron Ohio, USA, 44107.</nlm:affiliation><wicri:noCountry code="subField">44107</wicri:noCountry></affiliation></author><author><name sortKey="Huynh, Toan Luu Duc" sort="Huynh, Toan Luu Duc" uniqKey="Huynh T" first="Toan Luu Duc" last="Huynh">Toan Luu Duc Huynh</name><affiliation wicri:level="1"><nlm:affiliation>School of Banking, University of Economics Ho Chi Minh City, Vietnam, Chair of Behavioral Finance, WHU - Otto Beisheim School of Management, Germany.</nlm:affiliation><country xml:lang="fr">Allemagne</country><wicri:regionArea>School of Banking, University of Economics Ho Chi Minh City, Vietnam, Chair of Behavioral Finance, WHU - Otto Beisheim School of Management</wicri:regionArea><wicri:noRegion>WHU - Otto Beisheim School of Management</wicri:noRegion><wicri:noRegion>WHU - Otto Beisheim School of Management</wicri:noRegion><wicri:noRegion>WHU - Otto Beisheim School of Management</wicri:noRegion></affiliation></author></titleStmt><publicationStmt><idno type="wicri:source">PubMed</idno><date when="2020">2020</date><idno type="RBID">pubmed:32837361</idno><idno type="pmid">32837361</idno><idno type="doi">10.1016/j.frl.2020.101578</idno><idno type="pmc">PMC7261360</idno><idno type="wicri:Area/Main/Corpus">000141</idno><idno type="wicri:explorRef" wicri:stream="Main" wicri:step="Corpus" wicri:corpus="PubMed">000141</idno><idno type="wicri:Area/Main/Curation">000141</idno><idno type="wicri:explorRef" wicri:stream="Main" wicri:step="Curation">000141</idno><idno type="wicri:Area/Main/Exploration">000141</idno></publicationStmt><sourceDesc><biblStruct><analytic><title xml:lang="en">Did Congress trade ahead? Considering the reaction of US industries to COVID-19.</title><author><name sortKey="Goodell, John W" sort="Goodell, John W" uniqKey="Goodell J" first="John W" last="Goodell">John W. Goodell</name><affiliation><nlm:affiliation>College of Business Administration, The University of Akron, Akron Ohio, USA, 44107.</nlm:affiliation><wicri:noCountry code="subField">44107</wicri:noCountry></affiliation></author><author><name sortKey="Huynh, Toan Luu Duc" sort="Huynh, Toan Luu Duc" uniqKey="Huynh T" first="Toan Luu Duc" last="Huynh">Toan Luu Duc Huynh</name><affiliation wicri:level="1"><nlm:affiliation>School of Banking, University of Economics Ho Chi Minh City, Vietnam, Chair of Behavioral Finance, WHU - Otto Beisheim School of Management, Germany.</nlm:affiliation><country xml:lang="fr">Allemagne</country><wicri:regionArea>School of Banking, University of Economics Ho Chi Minh City, Vietnam, Chair of Behavioral Finance, WHU - Otto Beisheim School of Management</wicri:regionArea><wicri:noRegion>WHU - Otto Beisheim School of Management</wicri:noRegion><wicri:noRegion>WHU - Otto Beisheim School of Management</wicri:noRegion><wicri:noRegion>WHU - Otto Beisheim School of Management</wicri:noRegion></affiliation></author></analytic><series><title level="j">Finance research letters</title><idno type="eISSN">1544-6131</idno><imprint><date when="2020" type="published">2020</date></imprint></series></biblStruct></sourceDesc></fileDesc><profileDesc><textClass></textClass></profileDesc></teiHeader><front><div type="abstract" xml:lang="en">During the ongoing COVID-19 pandemic in the US, there has been considerable media attention regarding several US legislators who traded stocks in late January through February 2020. The concern is that these legislators traded in anticipation of COVID-19 having a major impact on the financial markets, while publicly suggesting otherwise. We consider whether these legislator trades were in a time window, and of a nature, that would be consistent with trading ahead of the market. Towards this end, we assess the reactions of US industries to sudden COVID-related news announcements, concomitantly with an analysis of levels of investor attention to COVID. Results suggest that, at an industry-level, for legislator trading to be "ahead of the market" it needed to have been done prior to February 26, and involving the 15 industries we identify as having abnormal returns, especially medical and pharmaceutical products (positive); restaurants, hotels, and motels (negative); as well as services and utilities. These criteria are met by many of the legislator trades. Our results help to both parameterize concerns about this case of legislator trading; as well as provide insight into the reactions and expectations of investors toward COVID-19.</div></front></TEI><pubmed><MedlineCitation Status="PubMed-not-MEDLINE" Owner="NLM"><PMID Version="1">32837361</PMID><DateRevised><Year>2020</Year><Month>09</Month><Day>28</Day></DateRevised><Article PubModel="Print-Electronic"><Journal><ISSN IssnType="Electronic">1544-6131</ISSN><JournalIssue CitedMedium="Internet"><Volume>36</Volume><PubDate><Year>2020</Year><Month>Oct</Month></PubDate></JournalIssue><Title>Finance research letters</Title><ISOAbbreviation>Financ Res Lett</ISOAbbreviation></Journal><ArticleTitle>Did Congress trade ahead? Considering the reaction of US industries to COVID-19.</ArticleTitle><Pagination><MedlinePgn>101578</MedlinePgn></Pagination><ELocationID EIdType="doi" ValidYN="Y">10.1016/j.frl.2020.101578</ELocationID><Abstract><AbstractText>During the ongoing COVID-19 pandemic in the US, there has been considerable media attention regarding several US legislators who traded stocks in late January through February 2020. The concern is that these legislators traded in anticipation of COVID-19 having a major impact on the financial markets, while publicly suggesting otherwise. We consider whether these legislator trades were in a time window, and of a nature, that would be consistent with trading ahead of the market. Towards this end, we assess the reactions of US industries to sudden COVID-related news announcements, concomitantly with an analysis of levels of investor attention to COVID. Results suggest that, at an industry-level, for legislator trading to be "ahead of the market" it needed to have been done prior to February 26, and involving the 15 industries we identify as having abnormal returns, especially medical and pharmaceutical products (positive); restaurants, hotels, and motels (negative); as well as services and utilities. These criteria are met by many of the legislator trades. Our results help to both parameterize concerns about this case of legislator trading; as well as provide insight into the reactions and expectations of investors toward COVID-19.</AbstractText><CopyrightInformation>© 2020 Elsevier Inc. All rights reserved.</CopyrightInformation></Abstract><AuthorList CompleteYN="Y"><Author ValidYN="Y"><LastName>Goodell</LastName><ForeName>John W</ForeName><Initials>JW</Initials><AffiliationInfo><Affiliation>College of Business Administration, The University of Akron, Akron Ohio, USA, 44107.</Affiliation></AffiliationInfo></Author><Author ValidYN="Y"><LastName>Huynh</LastName><ForeName>Toan Luu Duc</ForeName><Initials>TLD</Initials><AffiliationInfo><Affiliation>School of Banking, University of Economics Ho Chi Minh City, Vietnam, Chair of Behavioral Finance, WHU - Otto Beisheim School of Management, Germany.</Affiliation></AffiliationInfo></Author></AuthorList><Language>eng</Language><PublicationTypeList><PublicationType UI="D016428">Journal Article</PublicationType></PublicationTypeList><ArticleDate DateType="Electronic"><Year>2020</Year><Month>05</Month><Day>31</Day></ArticleDate></Article><MedlineJournalInfo><Country>Netherlands</Country><MedlineTA>Financ Res Lett</MedlineTA><NlmUniqueID>101768122</NlmUniqueID><ISSNLinking>1544-6131</ISSNLinking></MedlineJournalInfo><KeywordList Owner="NOTNLM"><Keyword MajorTopicYN="N">COVID-19</Keyword><Keyword MajorTopicYN="N">Insider trading</Keyword><Keyword MajorTopicYN="N">Market reaction</Keyword><Keyword MajorTopicYN="N">Politics and trading</Keyword><Keyword MajorTopicYN="N">US industries, Investor attention</Keyword></KeywordList></MedlineCitation><PubmedData><History><PubMedPubDate PubStatus="received"><Year>2020</Year><Month>04</Month><Day>16</Day></PubMedPubDate><PubMedPubDate PubStatus="revised"><Year>2020</Year><Month>05</Month><Day>04</Day></PubMedPubDate><PubMedPubDate PubStatus="accepted"><Year>2020</Year><Month>05</Month><Day>07</Day></PubMedPubDate><PubMedPubDate PubStatus="pubmed"><Year>2020</Year><Month>8</Month><Day>25</Day><Hour>6</Hour><Minute>0</Minute></PubMedPubDate><PubMedPubDate PubStatus="medline"><Year>2020</Year><Month>8</Month><Day>25</Day><Hour>6</Hour><Minute>1</Minute></PubMedPubDate><PubMedPubDate PubStatus="entrez"><Year>2020</Year><Month>8</Month><Day>25</Day><Hour>6</Hour><Minute>0</Minute></PubMedPubDate></History><PublicationStatus>ppublish</PublicationStatus><ArticleIdList><ArticleId IdType="pubmed">32837361</ArticleId><ArticleId IdType="doi">10.1016/j.frl.2020.101578</ArticleId><ArticleId IdType="pii">S1544-6123(20)30501-8</ArticleId><ArticleId IdType="pii">101578</ArticleId><ArticleId IdType="pmc">PMC7261360</ArticleId></ArticleIdList><pmc-dir>pmcsd</pmc-dir>
<ReferenceList><Reference><Citation>Financ Res Lett. 2020 Jul;35:101512</Citation><ArticleIdList><ArticleId IdType="pubmed">32562472</ArticleId></ArticleIdList></Reference></ReferenceList></PubmedData></pubmed><affiliations><list><country><li>Allemagne</li></country></list><tree><noCountry><name sortKey="Goodell, John W" sort="Goodell, John W" uniqKey="Goodell J" first="John W" last="Goodell">John W. Goodell</name></noCountry><country name="Allemagne"><noRegion><name sortKey="Huynh, Toan Luu Duc" sort="Huynh, Toan Luu Duc" uniqKey="Huynh T" first="Toan Luu Duc" last="Huynh">Toan Luu Duc Huynh</name></noRegion></country></tree></affiliations></record>Pour manipuler ce document sous Unix (Dilib)
EXPLOR_STEP=$WICRI_ROOT/Wicri/Wicri/explor/CovidPublicV1/Data/Main/Exploration
HfdSelect -h $EXPLOR_STEP/biblio.hfd -nk 000182 | SxmlIndent | more
Ou
HfdSelect -h $EXPLOR_AREA/Data/Main/Exploration/biblio.hfd -nk 000182 | SxmlIndent | more
Pour mettre un lien sur cette page dans le réseau Wicri
{{Explor lien
|wiki= Wicri/Wicri
|area= CovidPublicV1
|flux= Main
|étape= Exploration
|type= RBID
|clé= pubmed:32837361
|texte= Did Congress trade ahead? Considering the reaction of US industries to COVID-19.
}}
Pour générer des pages wiki
HfdIndexSelect -h $EXPLOR_AREA/Data/Main/Exploration/RBID.i -Sk "pubmed:32837361" \
| HfdSelect -Kh $EXPLOR_AREA/Data/Main/Exploration/biblio.hfd \
| NlmPubMed2Wicri -a CovidPublicV1
| This area was generated with Dilib version V0.6.38. |  |