Spillover effects between commodity and stock markets: A SDSES approach

In this paper, we use a state-dependent sensitivity expected shortfall (SDSES) approach using expectiles. This model enables us to quantify the direction, size, and persistence of risk spillovers among the US and emerging market stock indices and different individual commodities as a function of the...

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Detalles Bibliográficos
Autores: García Jorcano, Laura, Sanchís Marco, Lidia
Tipo de recurso: artículo
Fecha de publicación:2022
País:España
Institución:Universidad de Castilla-La Mancha
Repositorio:RUIdeRA. Repositorio Institucional de la UCLM
OAI Identifier:oai:ruidera.uclm.es:10578/42645
Acceso en línea:https://doi.org/10.1016/j.resourpol.2022.102926
https://hdl.handle.net/10578/42645
Access Level:acceso embargado
Palabra clave:CARE models
Commodities
Expected shortfall
Financialization
Risk spillovers
Descripción
Sumario:In this paper, we use a state-dependent sensitivity expected shortfall (SDSES) approach using expectiles. This model enables us to quantify the direction, size, and persistence of risk spillovers among the US and emerging market stock indices and different individual commodities as a function of the state of financial markets (tranquil, normal, and volatile). We obtain high and more significant spillovers and financialization process evidence in the volatile state of the post-Draghi speech and COVID-19 period, especially for the copper and wheat market. Market stock indices and commodity US market index appear to play a major role in the transmission of shocks to other markets, mainly to the wheat market.