Sleep Disruptions and Information Processing in Financial Markets

Published Online:https://doi.org/10.1287/mnsc.2022.01102

References

  • Adebambo B, Bliss B, Kumar A (2016) Geography, diversity, and accuracy of crowdsourced earnings forecasts. Preprint, submitted October 5, http://dx.doi.org/10.2139/ssrn.2579402.Google Scholar
  • Ayas NT, White DP, Manson JE, Stampfer MJ, Speizer FE, Malhotra A, Hu FB (2003) A prospective study of sleep duration and coronary heart disease in women. Arch. Internal Medicine 163(2):205–209.CrossrefGoogle Scholar
  • Barnes CM, Wagner DT (2009) Changing to daylight saving time cuts into sleep and increases workplace injuries. J. Appl. Psych. 94(5):1305–1317.CrossrefGoogle Scholar
  • Bartov E, Radhakrishnan S, Krinsky I (2000) Investor sophistication and patterns in stock returns after earnings announcements. Accounting Rev. 75(1):43–63.CrossrefGoogle Scholar
  • Berument MH, Dogan N, Onar B (2010) Effects of daylight savings time changes on stock market volatility. Psych. Rep. 106(2):632–640.CrossrefGoogle Scholar
  • Bradley D, Gokkaya S, Liu X (2017) Before an analyst becomes an analyst: Does industry experience matter? J. Finance 72(2):751–792.CrossrefGoogle Scholar
  • Britzky H (2020) Grab your woobies—The army wants you to nap like your life depends on it. Task & Purpose (September 29), https://taskandpurpose.com/analysis/army-rip-its-caffeine/.Google Scholar
  • Cao M, Wei J (2005) Stock market returns: A note on temperature anomaly. J. Banking Finance 29(6):1559–1573.CrossrefGoogle Scholar
  • Chattu VK, Manzar M, Kumary S, Burman D, Spence DW, Pandi-Perumal SR (2019) The global problem of insufficient sleep and its serious public health implications. Healthcare (Basel) 7(1):1–16.Google Scholar
  • Chen MC, Burley HW, Gotlib IH (2012) Reduced sleep quality in healthy girls at risk for depression. J. Sleep Res. 21(1):68–72.CrossrefGoogle Scholar
  • Cho K, Barnes CM, Guanara CL (2017) Sleepy punishers are harsh punishers: Daylight saving time and legal sentences. Psych. Sci. 28(2):242–247.CrossrefGoogle Scholar
  • Clement M (1999) Analyst forecast accuracy: Do ability, resources, and portfolio complexity matter? J. Accounting Econom. 27(3):285–303.CrossrefGoogle Scholar
  • Cohen L, Frazzini A, Malloy C (2010) Sell-side school ties. J. Finance 65(4):1409–1437.CrossrefGoogle Scholar
  • Coren S (1996) Accidental death and the shift to daylight savings time. Perceptual Motor Skills 83(3):921–922.CrossrefGoogle Scholar
  • Da Z, Huang X (2020) Harnessing the wisdom of crowds. Management Sci. 66(5):1847–1867.LinkGoogle Scholar
  • Dehaan E, Madsen J, Piotroski JD (2017) Do weather-induced moods affect the processing of earnings news? J. Accounting Res. 55(3):509–550.CrossrefGoogle Scholar
  • Derrien F, Kecskes A (2013) The real effects of financial shocks: Evidence from exogenous changes in analyst coverage. J. Finance 68(4):1407–1440.CrossrefGoogle Scholar
  • Dichev ID, Janes TD (2003) Lunar cycle effects in stock returns. J. Private Equity 6(4):8–29.CrossrefGoogle Scholar
  • Dinges DF, Pack F, Williams K, Gillen KA, Powell JW, Ott GE, Aptowicz C, Pack AI (1997) Cumulative sleepiness, mood disturbance, and psychomotor vigilance performance decrements during a week of sleep restricted to 4–5 hours per night. Sleep 20(4):267–277.Google Scholar
  • Dong R, Fisman R, Wang Y, Xu N (2019) Air pollution, affect, and forecasting bias: Evidence from Chinese financial analysts. J. Financial Econom. 139(3):971–984.CrossrefGoogle Scholar
  • Driskill M, Kirk M, Tucker J (2020) Concurrent earnings announcements and analysts’ information production. Accounting Rev. 95(1):165–189.CrossrefGoogle Scholar
  • Fairclough SH, Venables L, Tattersall A (2005) The influence of task demand and learning on the psychophysiological response. Internat. J. Psychophysiology 56(2):171–184.CrossrefGoogle Scholar
  • Fang B, Hope O-K (2021) Analyst teams. Rev. Accounting Stud. 26(2):425–467.CrossrefGoogle Scholar
  • Gabaix X, Laibson D, Moloche G, Weinberg S (2006) Information acquisition: Experimental analysis of a boundedly rational model. Amer. Econom. Rev. 96(4):1043–1068.CrossrefGoogle Scholar
  • Green TC, Jame F, Markov S, Subasi M (2014) Access to management and the informativeness of analyst research. J. Financial Econom. 114(2):239–255.CrossrefGoogle Scholar
  • Gregory-Allen R, Jacobsen B, Marquering W (2010) The daylight saving time anomaly in stock returns: Fact or fiction? J. Financial Res. 33(4):403–427.CrossrefGoogle Scholar
  • Harford J, Jiang F, Wang R, Xie F (2019) Analyst career concerns, effort allocation, and firms’ information environment. Rev. Financial Stud. 32(6):2179–2224.CrossrefGoogle Scholar
  • Harrison Y (2013) The impact of daylight saving time on sleep and related behaviours. Sleep Medicine Rev. 17(4):285–292.CrossrefGoogle Scholar
  • Harrison Y, Horne JA (1999) One night of sleep loss impairs innovative thinking and flexible decision making. Organ. Behav. Human Decision Processes 78(2):128–145.CrossrefGoogle Scholar
  • Hicks RA, Lindseth K, Hawkins J (1983) Daylight saving-time changes increase traffic accidents. Perceptual Motor Skills 56(1):64–66.CrossrefGoogle Scholar
  • Hirshleifer D, Shumway T (2003) Good day sunshine: Stock returns and the weather. J. Finance 58(3):1009–1032.CrossrefGoogle Scholar
  • Hirshleifer D, Levi YM, Lourie B, Teoh SH (2019) Decision fatigue and heuristic analyst forecasts. J. Financial Econom. 133(1):83–98.CrossrefGoogle Scholar
  • Hong H, Kubik J (2003) Analyzing the analysts: Career concerns and biased earnings forecasts. J. Finance 58(1):313–351.CrossrefGoogle Scholar
  • Hong H, Kubik J, Solomon A (2000) Security analysts’ career concerns and herding of earnings forecasts. RAND J. Econom. 31(1):121–144.CrossrefGoogle Scholar
  • Ivkovic Z, Jegadeesh N (2004) The timing and value of forecast and recommendation revisions. J. Financial Econom. 73(3):443–463.CrossrefGoogle Scholar
  • Jacob J, Rock S, Weber D (2008) Do non-investment bank analysts make better earnings forecasts? J. Accounting Auditing Finance 23(1):23–61.CrossrefGoogle Scholar
  • Jame R, Johnston R, Markov S, Wolfe MC (2016) The value of crowdsourced earnings forecasts. J. Accounting Res. 54(4):1077–1110.CrossrefGoogle Scholar
  • Jannati S (2024) Rest and financial judgments: The impact of holidays on analyst accuracy. Working paper, University of Texas at Arlington, Arlington, TX.Google Scholar
  • Jin L, Ziebarth NR (2020) Sleep, health, and human capital: Evidence from daylight saving time. J. Econom. Behav. Organ. 170:174–192.CrossrefGoogle Scholar
  • Kamstra MJ, Kramer LA, Levi MD (2000) Losing sleep at the market: The daylight saving anomaly. Amer. Econom. Rev. 90(4):1005–1011.CrossrefGoogle Scholar
  • Kamstra MJ, Kramer LA, Levi MD (2003) Winter blues: A SAD stock market cycle. Amer. Econom. Rev. 93(1):324–343.CrossrefGoogle Scholar
  • Kantermann T, Juda M, Merrow M, Roenneberg T (2007) The human circadian clock’s seasonal adjustment is disrupted by daylight saving time. Current Biology 17(22):1996–2000.CrossrefGoogle Scholar
  • Kaustia M, Alho E, Puttonen V (2008) How much does expertise reduce behavioral biases? The case of anchoring effects in stock return estimates. Financial Management 37(3):391–412.CrossrefGoogle Scholar
  • Kirchberger I, Wolf K, Heier M, Kuch B, von Scheidt W, Peters A, Meisinger C (2015) Are daylight saving time transitions associated with changes in myocardial infarction incidence? Results from the German MONICA/KORA Myocardial Infarction Registry. BMC Public Health 15:1–8.CrossrefGoogle Scholar
  • Kitamura S, Katayose Y, Nakazaki K, Motomura Y, Oba K, Katsunuma R, Terasawa Y, et al. (2016) Estimating individual optimal sleep duration and potential sleep debt. Sci. Rep. 6:1–9.CrossrefGoogle Scholar
  • Kleppe TJ, Pierce AT, Wiebe Z, Yohn TL (2024) The effects of daylight saving time adjustments on investor information processing. Accounting Rev. 99(2):249–277.Google Scholar
  • Kumar A (2010) Self-selection and the forecasting abilities of female equity analysts. J. Accounting Res. 48(2):393–435.CrossrefGoogle Scholar
  • Lamb RP, Zuber RA, Gandar JM (2004) Don’t lose sleep on it: A re-examination of the daylight savings time anomaly. Appl. Financial Econom. 14(6):443–446.CrossrefGoogle Scholar
  • Lee JY, Shin YH, Sohn YW (2021) The effect of Korean flight crews’ expertise on long-haul flight fatigue. J. Korean Soc. Aviation Aeronautics 29(2):67–77.CrossrefGoogle Scholar
  • Levav J, Heitmann M, Herrmann A, Iyengar SS (2010) Order in product customization decisions: Evidence from field experiments. J. Political Econom. 118(2):274–299.CrossrefGoogle Scholar
  • Levine M (2021) Money stuff: Goldman analysts work too hard. Bloomberg Opinion (March 18), https://www.bloomberg.com/news/newsletters/2021-03-18/money-stuff-goldman-analysts-work-too-hard.Google Scholar
  • Li K (2020) Does information asymmetry impede market efficiency? Evidence from analyst coverage. J. Banking Finance 118:1–17.CrossrefGoogle Scholar
  • Li CK, Luo J-H, Soderstrom NS (2020) Air pollution and analyst information production. J. Corporate Finance 60:1–24.CrossrefGoogle Scholar
  • Ljungqvist A, Marston F, Wilhelm W (2006) Competing for securities underwriting mandates: Banking relationships and analyst recommendations. J. Finance 61(1):301–340.CrossrefGoogle Scholar
  • Lourie B (2019) The revolving door of sell-side analysts. Accounting Rev. 94(1):249–270.CrossrefGoogle Scholar
  • Mah CD, Mah KE, Kezirian EJ, Dement WC (2011) The effects of sleep extension on the athletic performance of collegiate basketball players. Sleep (Basel) 34(7):943–950.CrossrefGoogle Scholar
  • Malloy C (2005) The geography of equity analysis. J. Finance 60(2):719–755.CrossrefGoogle Scholar
  • McCoy JG, Strecker RE (2011) The cognitive cost of sleep lost. Neurobiology Learn. Memory 96(4):564–582.CrossrefGoogle Scholar
  • Medic G, Wille M, Hemels ME (2017) Short-and long-term health consequences of sleep disruption. Nature Sci. Sleep 9:151–161.CrossrefGoogle Scholar
  • Michaely R, Womack K (1999) Conflict of interest and the credibility of underwriter analyst recommendations. Rev. Financial Stud. 12(4):653–686.CrossrefGoogle Scholar
  • Mikhail MB, Walther BR, Willis RH (1997) Do security analysts improve their performance with experience? J. Accounting Res. 35:131–157.CrossrefGoogle Scholar
  • Mola S, Rau PR, Khorana A (2013) Is there life after the complete loss of analyst coverage? Accounting Rev. 88(2):667–705.CrossrefGoogle Scholar
  • Monk TH (1980) Traffic accident increases as a possible indicant of desynchronosis. Chronobiologia 7(4):527–529.Google Scholar
  • Nekrasov A, Teoh SH, Wu S (2023) Limited attention and financial decision-making. Hilary G, McLean D, eds. Handbook of Financial Decision Making (Edward Elgar Publishing, Cheltenham, UK), 17–35.CrossrefGoogle Scholar
  • O’brien RM (2007) A caution regarding rules of thumb for variance inflation factors. Quality Quantity 41:673–690.CrossrefGoogle Scholar
  • Peng L (2005) Learning with information capacity constraints. J. Financial Quant. Anal. 40(2):307–329.CrossrefGoogle Scholar
  • Pilcher JJ, Huffcutt AI (1996) Effects of sleep deprivation on performance: A meta-analysis. Sleep 19(4):318–326.CrossrefGoogle Scholar
  • Pinegar JM (2002) Losing sleep at the market: Comment. Amer. Econom. Rev. 92(4):1251–1256.CrossrefGoogle Scholar
  • Pisciotta K (2023) Analyst workload and information production: Evidence from IPO assignments. Contemporary Accounting Res. 40(3):1605–1640.CrossrefGoogle Scholar
  • Saunders EM Jr (1993) Stock prices and Wall Street weather. Amer. Econom. Rev. 83(5):1337–1345.Google Scholar
  • Schneider W, Fisk AD (1982) Degree of consistent training: Improvements in search performance and automatic process development. Perception Psychophysics 31(2):160–168.CrossrefGoogle Scholar
  • Schwarz J, Axelsson J, Gerhardsson A, Tamm S, Fischer H, Kecklund G, Åkerstedt T (2019) Mood impairment is stronger in young than in older adults after sleep deprivation. J. Sleep Res. 28(4):1–9.CrossrefGoogle Scholar
  • Sexton AL, Beatty TK (2014) Behavioral responses to daylight savings time. J. Econom. Behav. Organ. 107:290–307.CrossrefGoogle Scholar
  • Smith AC (2016) Spring forward at your own risk: Daylight saving time and fatal vehicle crashes. Amer. Econom. J. Appl. Econom. 8(2):65–91.CrossrefGoogle Scholar
  • Soltes E (2014) Private interaction between firm management and sell-side analysts. J. Accounting Res. 52(1):245–272.CrossrefGoogle Scholar
  • Varughese J, Allen RP (2001) Fatal accidents following changes in daylight savings time: The American experience. Sleep Medicine 2(1):31–36.CrossrefGoogle Scholar
  • Walker MP (2008) Cognitive consequences of sleep and sleep loss. Sleep Medicine 9(Suppl 1):S29–S34.CrossrefGoogle Scholar
  • Williamson AM, Feyer A-M (2000) Moderate sleep deprivation produces impairments in cognitive and motor performance equivalent to legally prescribed levels of alcohol intoxication. Occupational Environ. Medicine 57(10):649–655.CrossrefGoogle Scholar
  • Wright TP (1936) Factors affecting the cost of airplanes. J. Aeronautical Sci. 3(4):122–128.CrossrefGoogle Scholar
  • Yelle LE (1979) The learning curve: Historical review and comprehensive survey. Decision Sci. 10(2):302–328.CrossrefGoogle Scholar
  • Yuan K, Zheng L, Zhu Q (2006) Are investors moonstruck? Lunar phases and stock returns. J. Empirical Finance 13(1):1–23.CrossrefGoogle Scholar
INFORMS site uses cookies to store information on your computer. Some are essential to make our site work; Others help us improve the user experience. By using this site, you consent to the placement of these cookies. Please read our Privacy Statement to learn more.