We find that the demand for stock option positions that increase exposure to the underlying is positively related to measures of investor sentiment and past market returns, while the demand for index options is invariant to these factors. These differences in trading patterns are reflected in...

It is frequently argued that foreign investors have extrapolative expectations due to their informational disadvantages. That is, absent other sources of information, foreigners revise their expectations on the future price of a domestic stock more in line with its current price change than do...

We investigate the effect of economic crises on the direction of information flow and price discovery efficiency of spot and futures market by considering the near month Nifty50 index futures and its corresponding spot index. The period of study commences from January, 2004 to December, 2015 and...