Do natural phenomena affect stocks’ yield in Israel?

Effects of Intraday Weather Changes on Asset Returns and Volatilities

“…Furthermore, statistically significant correlations between weather variables and stock market returns are documented in the prior literature. For example, the significant influence of wind (Wellington's weather) on the returns of stocks listed on the New Zealand Stock Exchange (Keef and Roush, 2002); a significant relationship between mood proxy variables (rain) and daily Irish stock returns (Dowling and Lucey, 2005); the significant effects of temperature and cloud cover on Taiwan's stock market returns (Chang et al, 2006); a negative correlation between temperature and the daily returns of Australian stock indices (Keef and Roush, 2007b), a relationship between UK equity markets and climatic conditions, such as temperature and wind speed (Dowling and Lucey, 2008), the existence of the weather effect-as measured by temperature, humidity, and sunshine duration-on the Shanghai A-and B-share indexes (Kang et al, 2010); a negative influence of temperature on the PSI 20 index returns of the Lisbon Stock Exchange (Floros, 2011); and the association between the Israeli Stock Exchange index returns and natural phenomena variables, including wind velocity, temperature, rain, and earthquakes (Nissim et al, 2012).…”