One of the main financial management issues in the world is determining factors that influence the return of the stock exchange, which has been the subject of numerous studies recently. Although this topic is one of the most explored in accounting and finance in recent years, there is still a scarcity of investigations on the developing markets- especially making a comparison during and after the pandemic. Therefore, the key objective of the current study is to shed light on the effects of the COVID-19 epidemic on the returns of the stock markets of the Jordan Stock Exchange sectors. Specifically, it examines the effect of COVID-19 on the banking, industry, insurance, and services sectors in the Jordanian stock markets for the period from 2020 until 2022, daily, at a rate of (512) trading days for the Jordanian Stock Exchange. The analysis was conducted using regression analysis. The results supported the number of new daily cases of COVID-19 in Jordan had a positive impact on the returns of the most affected industry sector, then the banking sector, followed by the services sector. However, it hurts the insurance sector. The return of the stock exchange appears to be more sensible to newfound cases of infection with the Coronavirus. In contrast, the new deaths from the Coronavirus do not influence the sectors of the Jordanian Stock Exchange. This study results revealed that the Jordan Stock Exchange sectors are facing challenges in terms of the restrictions on economic activities, which ultimately influence the stock return. This study's results contribute to various concerned parties, investors, authorities, researchers, and financial analysts alike in thoughtful consideration of the existing practices of the returns of the stock exchange, assisting them in reviewing and reconsidering the applied accounting standards and enlightening the financial report credibility in the Jordanian market. The present study suggests that firms uphold financial aspects and metrics and oversee them during any pandemic or any similar events, and stock market decision-makers need to develop strategies for minimizing the disparities in financial performance during and post-pandemic periods. Added to these, the study provides information that policymakers, investors, and the whole society may find useful concerning the adverse effects of natural disasters on the economies to lay down best practices in risk management strategies and crisis adaptability.
