Does China’s stock market react to Covid-19 differently at industry level? Evidence from China
Bibliographic Data
| ID | 15066923 |
|---|---|
| Authors | Zhiwei Yang (0000-0001-9652-4375, Northwest A&F University), Yang Zhiwei (Northwest A&F University), M A Naeem (0000-0001-6962-3175, University of Central Punjab), Muhammad Naeem (0000-0002-9132-243X, UCP Business School, University of Central Punjab, Lahore, Pakistan), Hao Ji (0000-0003-2288-2684, Northwest A&F University, corresponding author), Gang Liu (0000-0003-2613-7286, Northwest A&F University), Yuchun Zhu (0000-0002-5919-5573, Northwest A&F University), Jia Xu (0000-0003-1238-1317, Northeast Asian Studies College of Jilin University, Changchun, Jilin, P. R. China) |
| Year | 2023 |
| Volume | 36 |
| Issue | 2 |
| Publication date | 2023-07-10 |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | Economic Research-Ekonomska Istraživanja (JOURNAL) |
| Journal identifiers | ISSN: 1331-677X • E-ISSN: 1848-9664 |
| Publisher | Informa UK Limited (PUBLISHER • GB) |
| DOI | 10.1080/1331677x.2022.2143844 |
| OpenAlex | W4309293566 |
| Language | EN |
| References cited | 44 |
Since the outbreak of the COVID-19 pandemic in 2020, global economic growth has been negatively affected. The reaction of financial markets was particularly dramatic, especially in countries severely affected by the outbreak. Based on Shanghai Stock Exchange (SSE) data from August 13, 2019 to December 31, 2020, this study investigates the short-term and the long-term market reactions of industry indices. The event study method and the Fama-French five-factor model are used to analyse the effect of the COVID-19 pandemic. Findings reveal that cumulative abnormal returns (CARs) in most industries followed a similar short-term trajectory. However, the excess returns of the SSE Information Technology, SSE Telecommunication Services and SSE Materials show different performance in the long term. This study facilitates the analysis of the impact of large public emergencies, such as global pandemics, on investors’ expectations and decision-making. It also helps investors to make rational decisions and the government to formulate targeted policies
2019-20 coronavirus outbreak · Business · China · Geography · Outbreak · Stock market · COVID-19 epidemiological studies · COVID-19 Pandemic Impacts · Financial Markets and Investment Strategies · Medicine · Internal Medicine · Virology
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A comparison of methods to test mediation and other intervening variable effects.
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Coronavirus Fears and Macroeconomic Expectations
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The Covid-19 Outbreak and Affected Countries Stock Markets Response
The moderator-mediator variable distinction in social psychological research
| Highly cited | No |
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