Analysis of the Relationship Between Energy Price Changes and Stock Market Indices in Developed Countries

Abstract

Oil is an important energy source and basic raw material in the manufacturing process. Therefore, the economies of every country in the world are directly or indirectly dependent on oil. The chain effect of the addiction in question also affects the financial markets. In the study, long-term relationship between energy prices (oil, natural gas and electricity prices) and stock market index for developed countries was analyzed with Multiple Structural Break Panel Cointegration Test. The causality relationship between the variables was examined with Dumitrescu-Hurlin Panel Causality Test. According to the findings of the analysis, it was determined that the series move together in the long term. However, while there was causality between oil prices and natural gas prices in the short term, it was revealed that there was no causality between electricity prices and stock market indices.

Analysis of the Relationship Between New Stock Issue and Price Determination and Information Efficiency

“…Therefore, under the construction background of the new era, in order to better grasp the relationship between the three and understand the impact of information and market environment on stock prices, the covariance structure model is used to conduct in-depth discussion. [1][2][3][4] IPO is one of the most common fund-raising methods in the capital market. The establishment of the new stock price is an important link in the stock issuing market, which involves the benefits of investors, underwriters and issuing enterprises, and affects the actual performance of the stock after listing.…”