IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this article or follow this journal

Oil Prices and Stock Prices of Alternative Energy Companies: Time Varying Relationship with Recent Evidence

  • Alex YiHou Huang

    ()

    (Finance Discipline, College of Management, Yuan Ze University, Taiwan)

  • Chiao-Ming Cheng

    (Ph.D. Program, College of Management, Yuan Ze University, Taiwan)

  • Wen-Cheng Hu

    (Ph.D. Program, College of Management, Yuan Ze University, Taiwan)

  • Chih-Chun Chen

    (Department of Management, Fo Guang University, Taiwan)

Registered author(s):

    This paper examines the recent interactive relationships between the crude oil prices and stock performances of alternative energy companies. The examination was conducted from 2001 to mid-2010, and the sample period is divided into three sub-periods according to two Middle East wars. Different dynamics of oil prices across these sub-periods are significantly documented for the first time. In recent years, oil prices have become significantly responsible for the stock performances of alternative energy companies. This finding suggests that the stock market investors of the alternative energy sector have only recently incorporated oil price shocks into their trading decisions. The volatility spillover effect between oil prices and the stock index of the alternative energy sector has also been established in recent years. This latest evidence on the interaction between the two markets is shown for the first time in the literature and should be well used by market participants.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL: http://www.jem.org.tw/content/pdf/Vol.8No.2/03.pdf
    Download Restriction: no

    File URL: http://www.jem.org.tw/content/abstract/Vol.8No.2/English/03.htm
    Download Restriction: no

    Article provided by College of Business, Feng Chia University, Taiwan in its journal Journal of Economics and Management.

    Volume (Year): 8 (2012)
    Issue (Month): 2 (July)
    Pages: 221-258

    as
    in new window

    Handle: RePEc:jec:journl:v:8:y:2012:i:2:p:221-258
    Contact details of provider: Postal: 100 Wenhwa Road, Seatwen, Taichung
    Web page: http://www.jem.org.tw/

    More information through EDIRC

    No references listed on IDEAS
    You can help add them by filling out this form.

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:jec:journl:v:8:y:2012:i:2:p:221-258. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Yi-Ju Su)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.