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It's not just Argentine soccer fans who woke up depressed following their nation's 1-0 defeat to Germany in the World Cup final. Traders in Buenos Aires were also feeling blue. Argentina's main Merval index was down 0.6 percent Monday after the team succumbed to a late goal Sunday from German striker Mario Goetze in Rio de Janeiro. That may not sound too bad, but when compared with other indexes in the region — and the world — Argentine shares were clearly underperforming. In a sharp contrast to the Merval's performance, Germany's DAX closed 1.2 percent higher — the biggest gain Monday among the major European stock indexes. Alex Edmans, a professor at London Business School and the Wharton School of the University of Pennsylvania, has analyzed stock market responses to World Cup defeats and found that those from losing nations have underperformed."Over the course of the World Cup, there have been 39 losses by countries with an active stock market," he said. "In two-thirds of these cases, the national market has underperformed the world market on the next day."
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