Join Now | 
HomeAboutContact UsPrivacy & SecurityAdvertise
Soccer America DailySpecial EditionAround The NetSoccer Business InsiderCollege Soccer ReporterYouth Soccer ReporterSoccer on TVSoccer America Classifieds
Paul Gardner: SoccerTalkSoccer America ConfidentialYouth Soccer InsiderWorld Cup Watch
RSS FeedsArchivesManage SubscriptionsSubscribe
Order Current IssueSubscribeManage My SubscriptionRenew My SubscriptionGift Subscription
My AccountJoin Now
Tournament CalendarCamps & AcademiesSoccer GlossaryClassifieds
How soccer affects the stock market
The Wall Street Journal, February 16th, 2012 2:07AM

MOST READ

MOST COMMENTED

Brad Plumer reports that soccer is so popular it is able to bring financial markets to a halt, it seems. A new paper from the European Central Bank finds that during the 2010 World Cup, the number of stock trades plunged an average of 45 percent in countries whose teams were playing at the time. (A goal caused a further 5 percent drop.)

“We conclude,” write Michael Ehrmann and David-Jan Jansen, “that stock markets were following developments on the soccer pitch rather than in the trading pit."

Activity in Chile fell 83 percent when its own team was playing, while trading in Argentina dropped 40 percent even when other teams were in action. Even the USA saw a 40 percent drop during its own games.

Plumer notes that a few Democrats in the U.S. and countries like France and Germany have proposed a financial transaction tax to, in part, tamp down on market volatility. But if that doesn’t pan out, there's always the option of simply holding more World Cups.

Read the original story...


No comments yet.

Sign in to leave a comment. Don't have an account? Join Now




AUTHORS

ARCHIVES
FOLLOW SOCCERAMERICA

Recent Section 2 Around the Net
The case for more female coaches in youth soccer    
Nicole Farley, who coaches at Southern California's Laguna United SC and Dana High School, says "I ...
Nasri to Miss a Month Following Surgery     
Manchester City midfielder Samir Nasri will miss a month after having groin surgery over the weekend. ...
Herrera Out as Man United Injury Crisis Worsens    
Manchester United midfielder Ander Herrera will be out for "weeks" with a fractured rib in yet ...
Giroud Signs Gunners Extension    
Goal.com reports that injured Arsenal striker Olivier Giroud has signed a two-year contract extension with the ...
Defender Helped Finance Barca Move    
Barcelona defender Jeremy Mathieu on Monday confirmed that he paid three million euros out of his ...
Man United Mulls Midweek Friendlies Abroad    
The BBC reports that Manchester United is thinking about playing potentially lucrative midweek friendlies abroad since ...
Cole 'Never Expected' to Play Against Lampard in UCL    
AS Roma defender Ashley Cole said he was surprised to come up against former Chelsea teammate ...
Luis Suarez Ban Upheld in FIFA 15     
Barcelona striker Luis Suarez is not currently playable in the "career mode" of FIFA 15, the ...
Simeone: Juve a 'Final'    
It may only be Matchday 2 of the UEFA Champions League, but Diego Simeone is already ...
Report: Pardew's Job Safe-for Now     
Newcastle United is currently 19th in the Premier League table and winless in six games so ...
>> Section 2 Around the Net Archives