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Will Massive Solar Storms Destroy the Stock Market?

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"When a coronal mass ejection reaches Earth, solar particles stream down our planet's magnetic field lines toward the poles. In the process, the particles collide with atoms of nitrogen and oxygen in the Earth's atmosphere, which then glow, creating an effect similar to miniature neon signs." Yes, fine, whatever. But what about the stock market? Shouldn't this be something the Plunge Protection Team or maybe the Federal Reserve (really, is there a difference?) prevents? Yes! Hence, the 2003 Atlanta Fed paper: "Playing the Field: Geomagnetic Storms and the Stock Market."

Turns out this solar eruption is putting everyone in a very bad mood. And if we're in a bad mood, we're more inclined to sell stocks.

"[P]eople affected by geomagnetic storms may be more inclined to sell stocks on stormy days because they incorrectly attribute their bad mood to negative economic prospects rather than bad environmental conditions," says Fed economists studying science. "The authors find strong empirical support in favor of a geomagnetic-storm effect in stock returns after controlling for market seasonals and other environmental and behavioral factors."

Look, this is what is happening! A solar tsunami.
POSITION:  No positions in stocks mentioned.