EconPapers    
Economics at your fingertips  
 

Brexit: (Not) another Lehman moment for banks?

D. Schiereck, F. Kiesel and S. Kolaric

Publications of Darmstadt Technical University, Institute for Business Studies (BWL) from Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL)

Abstract: We analyze the stock and CDS market reactions around the UK's EU membership referendum (“Brexit”) on June 23, 2016, and the Lehman Brothers bankruptcy filing on September 15, 2008. We find that the short-run drop in stock prices to the Brexit announcement was more pronounced than to Lehman's bankruptcy, particularly for EU banks. Additionally, for EU banks, a large increase in CDS spreads can be observed. Yet, compared to the Lehman bankruptcy filing, this increase is still relatively small. For non-EU banks, we observe neither significant stock nor CDS price reactions.

Date: 2016-11
Note: for complete metadata visit http://tubiblio.ulb.tu-darmstadt.de/82881/
References: Add references at CitEc
Citations: View citations in EconPapers (15) Track citations by RSS feed

Published in Finance Research Letters . 19 (2016-11) : pp. 291-297

Downloads: (external link)
http://dx.doi.org/10.1016/j.frl.2016.09.003

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:dar:wpaper:82881

Access Statistics for this paper

More papers in Publications of Darmstadt Technical University, Institute for Business Studies (BWL) from Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL) Contact information at EDIRC.
Bibliographic data for series maintained by Dekanatssekretariat ().

 
Page updated 2019-11-10
Handle: RePEc:dar:wpaper:82881