Purpose: The aims of the study were (a) to evaluate the effects of systematically varied factors of stimulus duration, interaural-level difference (ILD), and direction on perceptual and electrophysiological metrics of lateralization for fixed versus moving targets and (b) to evaluate the hemispheric activity underlying perception of fixed versus moving auditory targets. Method: Twelve normal-hearing, young adult listeners were evaluated using perceptual and P300 tests of lateralization. Both perceptual and P300 tests utilized stimuli that varied for type (fixed and moving), direction (right and left), duration (100 and 500 ms), and magnitude of ILD (9 and 18 dB). Listeners provided laterality judgments and stimulus-type discrimination (fixed vs. moving) judgments for all combinations of acoustic factors. During P300 recordings, listeners discriminated between left- versus right-directed targets, as the other acoustic parameters were varied. Results: ILD magnitude and stimulus type had statistically significant effects on laterality ratings, with larger magnitude ILDs and fixed type resulting in greater lateralization. Discriminability between fixed versus moving targets was dependent on stimulus duration and ILD magnitude. ILD magnitude was a significant predictor of P300 amplitude. There was a statistically significant inverse relationship between the perceived velocity of targets and P300 latency. Lateralized targets evoked contralateral hemispheric P300 activity. Moreover, a right-hemisphere enhancement was observed for fixed-type lateralized deviant stimuli. Conclusions: Perceptual and P300 findings indicate that lateralization of auditory movement is highly dependent on temporal integration. Both the behavioral and physiological findings of this study suggest that moving auditory targets with ecologically valid velocities are processed by the central auditory nervous system within a window of temporal integration that is greater than that for fixed auditory targets. Furthermore, these findings lend support for a left hemispatial perceptual bias and right hemispheric dominance for spatial listening.