Does January Effect Exist in Jordan Pre and Post the 2008 Global Financial Crisis

  •  Ahmad Fares Alqisie    
  •  Hamdan Moh'd Al- Hiyasat    
  •  Belal Rabah Shammout    


The aim of this paper lies in investigating the existence of the January effect at the Amman Stock Exchange (ASE) pre and post the 2008 global financial crisis. For this purpose, the monthly returns of all stock prices in (ASE) have been calculated and analyzed for the period January 2000-December, 2018. The said analysis covered three periods as follows: the first one is the whole period; the second period is from January 2000-December 2007, while the third period is from January 2009-December 2018. Regression models with dummy variables and monthly returns of all shares have been used. The results indicated that the January effect exists at (ASE) during the whole period and the period before the global crisis, while the January effect after the global crisis 2008 does not exist at (ASE). Conversely, the results showed the existence of the December effect. Therefore, there is an opportunity for investors at (ASE) to benefit from these findings.

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