Статья

Oil shocks and equity markets: The case of GCC and BRICS economies

Z. Umar, N. Trabelsi, A. Zaremba,
2021

This study analyzes the relationship between oil shocks and the equity markets of a group of world major oil producers and consumers encompassing both the GCC and BRICS economies. We employ a novel framework to decompose the oil shocks (demand, supply, and risk shocks) into their daily components. Subsequently, we also employ a network connectedness approach to investigate the static and time-varying connectedness of these shocks with equity markets. Our sample period ranges from January 6, 2005, to July 17, 2020. Empirical results show a medium connectedness between examined equity markets and oil shocks, in terms of returns and volatility, with an unpreceded level during the recent COVID-19 crisis. Furthermore, the volatility of oil-exporting countries contributes more to the volatility connectedness. Demand shock and risk shock are the main contributors to the connectedness.

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  • 1. Version of Record от 2021-04-01

Метаданные

Об авторах
  • Z. Umar
    Zayed University, South Ural State University
  • N. Trabelsi
    Al-Imam Muhammad Ibn Saud Islamic University, Université de Kairouan
  • A. Zaremba
    Montpellier Business School, Montpellier Recherche en Management (MRM), Poznań University of Economics and Business
Название журнала
  • Energy Economics
Том
  • 96
Финансирующая организация
  • Narodowym Centrum Nauki
Номер гранта
  • 2016/23/B/HS4/00731
Тип документа
  • journal article
Тип лицензии Creative Commons
  • CC BY
Правовой статус документа
  • Свободная лицензия
Источник
  • scopus