Terrifying/Inspiring Thought of the Week
Photo by Patrick Weissenberger on Unsplash (I ruined with faces and words)
Decomposing Climate Risks in Stock Markets (2023)
More specifically, stock prices react positively to market-wide climate-favorable news but they do not react negatively to climate-unfavorable news. The results are robust to different model specifications and across equity markets.
Translation: If there is a positive climate change development the market celebrates it (buy, buy, buy). If there is negative climate change news, the market ignores it (no reaction). But don’t worry, the study focused on Canada, so I’m sure the rest of the world’s markets are on top of things.