The Impact of Brexit on the Stock Markets of the Greater China Region

Abstract

An examination of Brexit and its initial impact on the main stock markets in the Greater China Region (GCR) was conducted using augmented market models that integrate Economic Policy Uncertainty (EPU) and implied volatility (VIX). The results do not seem to align with research in the field that has suggested that the EPU index helps to identify if market participants are reacting to political events. The main research findings suggest that Brexit does not appear to have an impact on the performance of market returns in the region and the influence of economic policy uncertainty in the GCR appears to be insignificant, except for Hong Kong. Overall, China's stock markets do not seem to be panicking and overreacting to unfolding events in the UK, and market instability in the region appears to be more associated with global and regional events that are better captured by the VIX index.

Reaksi Pasar Modal Indonesia Terhadap Rencana Investasi Antara Pemerintah Indonesia dengan Pendiri Tesla dan Space X

“…Hasil penelitian ini konsisten dengan penelitian sebelumnya oleh Raharusun & Horman (2022) yang menyebutkan bahwa isu hubungan pemerintah Indonesia dengan Tesla tidak secara signifikan memengaruhi abnormal return, yang berarti isu tersebut tidak membuat pasar bereaksi. Hasil ini juga didukung beberapa penelitian diantaranya Lestari & Nuryatno (2018), Lucia et al (2018), Wijaya & Gunawan (2019), Agatha & Suhadak (2019), serta Salsabella et al (2022) yang mendapatkan hasil tidak terdapat abnormal return yang signifikan atas sebuah peristiwa.…”