Impact of Public Health Events on Aviation Stock Returns and Volatility: Evidence from COVID-19
The aviation industry was greatly impacted during COVID-19 since 2020. At the end of 2022, the epidemic was basically under control. In the post-epidemic era, the prevention and control policies were relaxed. The aviation industry gradually recovered. These events led to great influence to aviation...
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| Format: | Article |
| Language: | English |
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EDP Sciences
2024-01-01
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| Series: | SHS Web of Conferences |
| Online Access: | https://www.shs-conferences.org/articles/shsconf/pdf/2024/01/shsconf_icdeba2023_02014.pdf |
| _version_ | 1797343439137800192 |
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| author | Qin Jiahui |
| author_facet | Qin Jiahui |
| author_sort | Qin Jiahui |
| collection | DOAJ |
| description | The aviation industry was greatly impacted during COVID-19 since 2020. At the end of 2022, the epidemic was basically under control. In the post-epidemic era, the prevention and control policies were relaxed. The aviation industry gradually recovered. These events led to great influence to aviation stocks. To examine the influence of the pandemic on aviation stocks, the event study method and the GARCH model are adopted analysing the return and its volatility. The result indicates that the outbreak of the coronavirus brought about a detrimental impact on aviation stocks. During the epidemic, negative news had a greater impact than positive news, while in the period before the COVID-19 positive news exerted greater impact. Moreover, both persistence and long-term memory of the fluctuation decreased during the pandemic. The come of the post-epidemic era had a favourable influence on aviation stocks. Nevertheless, the effects of both events were relatively transient. These results help to guide aviation stock investment during public health events. |
| first_indexed | 2024-03-08T10:47:41Z |
| format | Article |
| id | doaj.art-d553cc2ae4134550aefbfeb1a420953b |
| institution | Directory Open Access Journal |
| issn | 2261-2424 |
| language | English |
| last_indexed | 2024-03-08T10:47:41Z |
| publishDate | 2024-01-01 |
| publisher | EDP Sciences |
| record_format | Article |
| series | SHS Web of Conferences |
| spelling | doaj.art-d553cc2ae4134550aefbfeb1a420953b2024-01-26T16:53:34ZengEDP SciencesSHS Web of Conferences2261-24242024-01-011810201410.1051/shsconf/202418102014shsconf_icdeba2023_02014Impact of Public Health Events on Aviation Stock Returns and Volatility: Evidence from COVID-19Qin Jiahui0School of Information Science and Technology, Guangdong University of Foreign StudiesThe aviation industry was greatly impacted during COVID-19 since 2020. At the end of 2022, the epidemic was basically under control. In the post-epidemic era, the prevention and control policies were relaxed. The aviation industry gradually recovered. These events led to great influence to aviation stocks. To examine the influence of the pandemic on aviation stocks, the event study method and the GARCH model are adopted analysing the return and its volatility. The result indicates that the outbreak of the coronavirus brought about a detrimental impact on aviation stocks. During the epidemic, negative news had a greater impact than positive news, while in the period before the COVID-19 positive news exerted greater impact. Moreover, both persistence and long-term memory of the fluctuation decreased during the pandemic. The come of the post-epidemic era had a favourable influence on aviation stocks. Nevertheless, the effects of both events were relatively transient. These results help to guide aviation stock investment during public health events.https://www.shs-conferences.org/articles/shsconf/pdf/2024/01/shsconf_icdeba2023_02014.pdf |
| spellingShingle | Qin Jiahui Impact of Public Health Events on Aviation Stock Returns and Volatility: Evidence from COVID-19 SHS Web of Conferences |
| title | Impact of Public Health Events on Aviation Stock Returns and Volatility: Evidence from COVID-19 |
| title_full | Impact of Public Health Events on Aviation Stock Returns and Volatility: Evidence from COVID-19 |
| title_fullStr | Impact of Public Health Events on Aviation Stock Returns and Volatility: Evidence from COVID-19 |
| title_full_unstemmed | Impact of Public Health Events on Aviation Stock Returns and Volatility: Evidence from COVID-19 |
| title_short | Impact of Public Health Events on Aviation Stock Returns and Volatility: Evidence from COVID-19 |
| title_sort | impact of public health events on aviation stock returns and volatility evidence from covid 19 |
| url | https://www.shs-conferences.org/articles/shsconf/pdf/2024/01/shsconf_icdeba2023_02014.pdf |
| work_keys_str_mv | AT qinjiahui impactofpublichealtheventsonaviationstockreturnsandvolatilityevidencefromcovid19 |