Potential Causes Related to Stock Market Volatility During COVID-19: Insights into the Performances in the Us

Xin Lian, Fernando Echevarria
{"title":"Potential Causes Related to Stock Market Volatility During COVID-19: Insights into the Performances in the Us","authors":"Xin Lian, Fernando Echevarria","doi":"10.18282/ff.v10i4.2353","DOIUrl":null,"url":null,"abstract":"The research aims to figure out the significant factors causing the volatility moves in the period from Feb 10 to Dec 28, 2020, which covers the outbreak and duration of COVID-19 in 2020, among the candidates: number of reports (cases, deaths, tests, and infection rate), number of medical resources needed (all beds needed, ICU beds needed, and invasive ventilators needed), and people’s anticipation toward reality (stock market, the pandemic, state of the economic and personal finance). After performing OLS regressions with stepwise regressions forward further, whose independent variables are chosen based on the values of VIF, we conclude that people’s focus on coronavirus is the most significant factor that induces the volatility, and the VIX values evolve dynamically. Nevertheless, the conclusions are somehow not robust as expected: in the second half of the period, not only none of the candidates are shown to have any influence on the volatility, but also the VIX series is proved to be not autocorrelated. By the results of the study, it is important not only to control the further spread of the pandemic but also to find approaches to stabilize people’s emotions towards the aspects of life which are affected by the pandemic. Apart from the meaningful insights from the research, the research paves the way for further studies in the future.","PeriodicalId":242006,"journal":{"name":"Financial Forum","volume":"48 1","pages":"0"},"PeriodicalIF":0.0000,"publicationDate":"2021-12-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Financial Forum","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.18282/ff.v10i4.2353","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"","JCRName":"","Score":null,"Total":0}
引用次数: 0

Abstract

The research aims to figure out the significant factors causing the volatility moves in the period from Feb 10 to Dec 28, 2020, which covers the outbreak and duration of COVID-19 in 2020, among the candidates: number of reports (cases, deaths, tests, and infection rate), number of medical resources needed (all beds needed, ICU beds needed, and invasive ventilators needed), and people’s anticipation toward reality (stock market, the pandemic, state of the economic and personal finance). After performing OLS regressions with stepwise regressions forward further, whose independent variables are chosen based on the values of VIF, we conclude that people’s focus on coronavirus is the most significant factor that induces the volatility, and the VIX values evolve dynamically. Nevertheless, the conclusions are somehow not robust as expected: in the second half of the period, not only none of the candidates are shown to have any influence on the volatility, but also the VIX series is proved to be not autocorrelated. By the results of the study, it is important not only to control the further spread of the pandemic but also to find approaches to stabilize people’s emotions towards the aspects of life which are affected by the pandemic. Apart from the meaningful insights from the research, the research paves the way for further studies in the future.
COVID-19期间与股市波动相关的潜在原因:对美国股市表现的洞察
研究的目的是找出2020年2月10日至12月28日期间,即2020年新冠肺炎疫情爆发和持续时间内,报告数量(病例、死亡、检测、感染率)、所需医疗资源数量(所有床位、ICU床位、有创呼吸机)、人们对现实的预期(股市、疫情、经济状况、个人财务)等导致波动的重要因素。根据VIF值选择自变量,进一步进行OLS回归和逐步回归后,我们得出结论,人们对冠状病毒的关注是诱发波动的最显著因素,VIX值是动态演变的。然而,结论在某种程度上并不像预期的那样稳健:在这段时间的后半段,不仅没有任何候选因素被证明对波动性有任何影响,而且VIX序列被证明不是自相关的。根据这项研究的结果,重要的是不仅要控制大流行的进一步传播,而且要找到方法来稳定人们对受大流行影响的生活方面的情绪。本研究除了获得有意义的见解外,还为未来的进一步研究铺平了道路。
本文章由计算机程序翻译,如有差异,请以英文原文为准。
求助全文
约1分钟内获得全文 求助全文
来源期刊
自引率
0.00%
发文量
0
×
引用
GB/T 7714-2015
复制
MLA
复制
APA
复制
导出至
BibTeX EndNote RefMan NoteFirst NoteExpress
×
提示
您的信息不完整,为了账户安全,请先补充。
现在去补充
×
提示
您因"违规操作"
具体请查看互助需知
我知道了
×
提示
确定
请完成安全验证×
copy
已复制链接
快去分享给好友吧!
我知道了
右上角分享
点击右上角分享
0
联系我们:info@booksci.cn Book学术提供免费学术资源搜索服务,方便国内外学者检索中英文文献。致力于提供最便捷和优质的服务体验。 Copyright © 2023 布克学术 All rights reserved.
京ICP备2023020795号-1
ghs 京公网安备 11010802042870号
Book学术文献互助
Book学术文献互助群
群 号:604180095
Book学术官方微信