Advances in Economics, Management and Political Sciences
- The Open Access Proceedings Series for Conferences
Proceedings of the 2nd International Conference on Business and Policy Studies
Series Vol. 17 , 13 September 2023
Open
Access | Article
The Impact of the Russo-Ukraine War on US Stock Return
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Abstract
This paper makes an event study on the Russo-Ukrainian War effect of the stock return, including that of the S&P500, renewable energy industry, military industry, and catering industry, with a time window of 29 days (39 days for Tesla’s event). This article will gain the normal and abnormal returns by using linear regression and the least square method. Then, the hypothesis test will be conducted using the Summation of the abnormal rate of return (CAR). The result will be shown by whether the cumulative abnormal return breaks the confidence interval according to the graph. Research results show that even though the war harms the economy, it does not entirely reduce the stock return. This empirical study would be helpful for the investors to make their investment strategy during the War period.
Keywords
event study methodology, summation of an abnormal rate of return, confidence interval, hypothesis test
References
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Data Availability
The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.
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- Volume Title
- Proceedings of the 2nd International Conference on Business and Policy Studies
- ISBN (Print)
- 978-1-915371-77-5
- ISBN (Online)
- 978-1-915371-78-2
- Published Date
- 13 September 2023
- Series
- Advances in Economics, Management and Political Sciences
- ISSN (Print)
- 2754-1169
- ISSN (Online)
- 2754-1177
- DOI
- 10.54254/2754-1169/17/20231065
- Copyright
- 13 September 2023
- Open Access
- This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited