Speculative bubble, intrinsic (intrinsic bubble)

Investors in the stock market overreact to favorable news regarding earnings and dividend payments; as a result, the price of the stock rises disproportionately. – See ad hoc announcement, bubble, speculative, frontrunning, Internet forums, price manipulation, rally. – Cf. ECB Monthly Bulletin, February 2002, p. 49.

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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
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