rate always leads an immediate fall in stock prices, ,iDR β must be negative in equation (1). Therefore, 22 ,,iDR DRt β … positive shock to the discount rate leads stock prices to fall initially and to rise subsequently. 4 To address this issue … the shock to expected future stock market returns. Stock prices fall if there is a negative cash-flow shock or a positive …

We test the hypothesis that the 2003 dividend tax cut boosted U.S. stock prices and thus lowered the cost of equity ….S. common stock prices to that of European stocks and real estate investment trusts. We also examine the relative cross …

interactions between bank loans and stock prices and evaluate whether bank loans play a role in transmitting financial shocks to … the real sector. We find evidence that bank loans react positively to the increase in stock prices but there seems to be … no influence from bank loans to stock prices. Similarly, bank loans seem to accommodate expansion in real output with …

This article contributes to the debate on stock prices and exchange rates in Malaysia. It examines causal relations … findings of interest, there is a feedback interaction between exchange rates and stock prices for the pre-crisis period. The … results also reveal that exchange rates lead stock prices for the crisis period. In a financially liberalized environment …