Pricing Indeterminacy: Deepwater Horizon Disaster, April 20, 2010

20%

20%

Jun 9
18%
16%

BP spread
BP average (2009)
S&P 500 average (2010)

18%
16%
14%

12%

12%

10%

10%

8%

8%

6%

6%

4%

4%

2%

2%

0%

0%

t-20
t-15
t-10
t-5
t
t+5
t+10
t+15
t+20
t+25
t+30
t+35
t+40
t+45
t+50
t+55
t+60
t+65
t+70
t+75
t+80
t+85
t+90
t+95
t+100
t+105
t+110
t+115
t+120

14%

t = April 20, 2010

DATA: Centre for Research in Security Prices
NOTE: Data points are the daily high-low spread as a percentage of the closing price. The 2009
average is 2.16%. The S&P 500 average for 2010 was 1.36%