After the bell
| After the bell |
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After the bell refers to all the important information regarding stock market that is released after that stock market has closed for the day.
If the information is released during the day, it can have impact on stock prices. However, if it is released after the bell, it can impact only the opening prices on the next working day. Positive information can increase opening price, and negative can decrease it. Therefore, closing price can be different from the opening price next day.
The name after the bell comes from tradition on many stock markets, e.g. New York Stock Exchange (NYSE) to ring the bell on the beginning and end of the day. Today the trade is mostly electronic, but the bell is still in use as a symbol.
After the bell in stock market
In the stock market, "after the bell" typically refers to earnings reports or other important announcements that are released by publicly traded companies after the market has closed for the day. This information can include details about a company's financial performance, such as revenue and profit, as well as other key metrics.
When a company releases positive earnings or other positive news, it can lead to an increase in the company's stock price when the market opens the next day. Conversely, if a company releases negative news or poor earnings, it can lead to a decrease in the stock price.
After the bell information also includes any other important events or announcements that take place after the market closes, such as mergers and acquisitions, executive changes, or regulatory developments. These events can also have an impact on a stock's price when the market opens the next day.
It is important to note that after the bell information can also have an impact on the broader market and other stocks as well, depending on the significance of the announcement and the company's influence on the market.
After the bell in education
The term has different meaning in education. After the bell means after school, leasure time or during vacation. Therefore, many companies in recreation business have After the bell in their name.
References
- Kyle, A. S. (1985). Continuous auctions and insider trading. Econometrica: Journal of the Econometric Society, 1315-1335.
