EconomicsPsychology

Franco Caparrelli, Anna Maria D’Arcangelis, Alexander E. Cassuto

2004.12.1Journal of Behavioral Finance

DOI: 10.1207/s15427579jpfm0504_5

tlooto Summary

This article studies herding effect in Italian Stock Market using data from Italian Stock Exchange and supports Christie and Huang's conclusions on presence of herding.

Abstract

This article studies the herding effect in the capital markets. Using data from the Italian Stock Exchange, the authors test for the presence of herding as described in Christie and Huang [1995], Chang, Cheng, and Khorana [2000], and Hwang and Salmon [2001]. The tests support Christie and Huang's conclusions that herding is present in extreme market conditions.

Citation format

CAPARRELLI, Franco; D’ARCANGELIS, Anna Maria; CASSUTO, Alexander E. Herding in the italian stock market: A case of behavioral finance. Journal of Behavioral Finance, 2004, 5: 222–230.