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Bond prices reacted positively as well.
Executives testified to how conservative (read absurdly pessimistic) the tests were and share prices reacted euphorically.
"There wasn't a depression, but stock prices reacted as if there was".
Share prices reacted favorably, with the benchmark index of the Paris stock exchange closing up 3.41percentt and that in Frankfurt rising 2.54percentt.
Among the areas it looked into was whether petrol and diesel prices reacted appropriately when crude oil prices dropped.
Similar(55)
We find that prices react insufficiently to news surprises and under-reacting drifts outnumber over-reacting reversals substantially.
Stock prices react significantly to the tone (negativity of words) managers use on earnings conference calls.
Market prices react surprisingly fast to new pieces of information, he suggested, and stock price movements are unpredictable, following a "random walk" pattern.
Event studies show that market prices react to news with staggering quickness often moving even before the news is public and tend to see through accounting conventions and subterfuges to the real economic value of a company's earnings.
The new "Walkie Talkie" tower in central London is dazzling workers in the City Photograph: Leon Neal/AFP/Getty Images 4.17pm BST Oil prices react to Syria Oil prices are still on track for their biggest monthly gain in a year, as Brent Crude is up more than 6% in August.
Academic researchers and, indeed, the Bank itself will no longer be able to identify the separate impact of the policy decision, the inflation report and the minutes by looking at how asset prices react to each, since they will all be released together.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com