The Relationship Between Stock Market Index Returns and Gold Returns during the First Year of the Coronavirus Pandemic: An Asymmetric Causality Test

Year 2022, Issue: 117, 77 - 100, 27.04.2022

Onur Oğuz Özge Korkmaz

https://doi.org/10.33203/mfy.1038564

Abstract

The Coronavirus is one of the most influential infectious diseases of the 21st century. This study investigates the Hatemi-J asymmetric causality relationship between stock market returns and gold market returns for five of the most affected countries between January 02, 2020 and December 31, 2020. The results show that because of the demand for liquidity, the atmosphere of panic, and the perception of gold as a safe haven, the causal relationship is not strong for each country.

Keywords

Gold, Covid-19, Stock Exchange Markets

References

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