{"id":229,"date":"2020-06-17T16:00:00","date_gmt":"2020-06-17T15:00:00","guid":{"rendered":"https:\/\/blogs.uwe.ac.uk\/dragon\/?p=229"},"modified":"2024-02-26T16:03:04","modified_gmt":"2024-02-26T16:03:04","slug":"energy-contagion-in-the-covid-19-crisis","status":"publish","type":"post","link":"https:\/\/blogs.uwe.ac.uk\/dragon\/energy-contagion-in-the-covid-19-crisis\/","title":{"rendered":"Energy Contagion in the COVID-19 Crisis"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\">By Reinhold Heinlein<\/h2>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" decoding=\"async\" width=\"612\" height=\"408\" src=\"https:\/\/blogs.uwe.ac.uk\/dragon\/wp-content\/uploads\/sites\/31\/2024\/02\/image.jpeg\" alt=\"\" class=\"wp-image-230\" srcset=\"https:\/\/blogs.uwe.ac.uk\/dragon\/wp-content\/uploads\/sites\/31\/2024\/02\/image.jpeg 612w, https:\/\/blogs.uwe.ac.uk\/dragon\/wp-content\/uploads\/sites\/31\/2024\/02\/image-300x200.jpeg 300w\" sizes=\"auto, (max-width: 709px) 85vw, (max-width: 909px) 67vw, (max-width: 984px) 61vw, (max-width: 1362px) 45vw, 600px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">At the time of the COVID-19 crisis, the oil market has suffered an unprecedented crisis, with the WTI crude oil price dropping into negative territory (-$37.63 per barrel) in April 2020. At the same time, the oil\/stock market nexus is not clear cut and limited studies have considered the impact of crises in the oil market. A new working paper by researchers at UWE, Keele and Portsmouth investigates this unique situation.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Using a high frequency dataset (collected at intervals of 5 minutes), for a selected sample of oil importing and exporting countries across G7, BRICS and Scandinavian economies, we demonstrate the existence of an energy contagion, in terms of a consistently higher interdependence between stock markets and the crude-oil market during the COVID-19 driven oil crisis. Such results applies to all countries in our sample, although oil exporters are shown to have been hit more heavily, with Russia exhibiting the highest contagion.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Overall, our results confirm the importance of crude oil on stock markets, which have been shown to behave as a market of one during the recent crisis.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Reference and link: Reinhold Heinlein (Bristol Business School) is currently researching on the link between crude oil prices and stock markets during the COVID-19 pandemic, in a new paper,&nbsp;<strong>\u201cEnergy Contagion in the COVID-19 Crisis\u201d<\/strong>&nbsp;written with Gabriella Legrenzi (Keele University) and Scott Mahadeo (Portsmouth University) and published in the CESifo Working Paper series No. 8345.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.cesifo.org\/en\/publikationen\/2020\/working-paper\/energy-contagion-covid-19-crisis\">View the full working paper here.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Reinhold Heinlein At the time of the COVID-19 crisis, the oil market has suffered an unprecedented crisis, with the WTI crude oil price dropping into negative territory (-$37.63 per barrel) in April 2020. At the same time, the oil\/stock market nexus is not clear cut and limited studies have considered the impact of crises &hellip; <a href=\"https:\/\/blogs.uwe.ac.uk\/dragon\/energy-contagion-in-the-covid-19-crisis\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Energy Contagion in the COVID-19 Crisis&#8221;<\/span><\/a><\/p>\n","protected":false},"author":78,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"wds_primary_category":3,"footnotes":""},"categories":[3],"tags":[4,11],"class_list":["post-229","post","type-post","status-publish","format-standard","hentry","category-dragon","tag-data-research","tag-dragon"],"_links":{"self":[{"href":"https:\/\/blogs.uwe.ac.uk\/dragon\/wp-json\/wp\/v2\/posts\/229","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blogs.uwe.ac.uk\/dragon\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blogs.uwe.ac.uk\/dragon\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blogs.uwe.ac.uk\/dragon\/wp-json\/wp\/v2\/users\/78"}],"replies":[{"embeddable":true,"href":"https:\/\/blogs.uwe.ac.uk\/dragon\/wp-json\/wp\/v2\/comments?post=229"}],"version-history":[{"count":1,"href":"https:\/\/blogs.uwe.ac.uk\/dragon\/wp-json\/wp\/v2\/posts\/229\/revisions"}],"predecessor-version":[{"id":231,"href":"https:\/\/blogs.uwe.ac.uk\/dragon\/wp-json\/wp\/v2\/posts\/229\/revisions\/231"}],"wp:attachment":[{"href":"https:\/\/blogs.uwe.ac.uk\/dragon\/wp-json\/wp\/v2\/media?parent=229"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blogs.uwe.ac.uk\/dragon\/wp-json\/wp\/v2\/categories?post=229"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blogs.uwe.ac.uk\/dragon\/wp-json\/wp\/v2\/tags?post=229"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}