International Financial Markets

A special issue of Economies (ISSN 2227-7099).

Deadline for manuscript submissions: closed (15 February 2019) | Viewed by 24072

Special Issue Editor


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Guest Editor
Department of Economics and Finance, Brunel University of London, Kingston Lane, Uxbridge UB8 3PH, UK
Interests: international finance; monetary and financial economics; macroeconomics and econometrics

Special Issue Information

Dear Colleagues,

The recent global financial crisis has shown, once again, that we live in a globalized world with strong linkages between economies, and financial markets in particular. Understanding the nature of such linkages and measuring their strengths are therefore essential for the purpose of managing crises and designing appropriate stabilization policies, as well as investment strategies. This Special Issue on “International Financial Markets” will include academic contributions that provide new evidence on international financial linkages using state-of-the-art econometric methods and that also analyze the implications of the empirical findings for policy makers and market participants. Issues, such as financial spillovers, interest and exchange rate linkages, the impact of news on financial variables, etc., will be of interest. Applications of both time series and panel, cutting-edge techniques, providing new empirical results with policy relevance, will be considered, in the context of appropriate theoretical frameworks generating testable hypotheses.

Prof. Dr. Caporale Guglielmo Maria
Guest Editor

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Published Papers (2 papers)

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Research

22 pages, 1491 KiB  
Article
Do Crude Oil Prices Drive the Relationship between Stock Markets of Oil-Importing and Oil-Exporting Countries?
by Manel Youssef and Khaled Mokni
Economies 2019, 7(3), 70; https://doi.org/10.3390/economies7030070 - 10 Jul 2019
Cited by 36 | Viewed by 9646
Abstract
The impact that oil market shocks have on stock markets of oil-related economies has several implications for both domestic and foreign investors. Thus, we investigate the role of the oil market in deriving the dynamic linkage between stock markets of oil-exporting and oil-importing [...] Read more.
The impact that oil market shocks have on stock markets of oil-related economies has several implications for both domestic and foreign investors. Thus, we investigate the role of the oil market in deriving the dynamic linkage between stock markets of oil-exporting and oil-importing countries. We employed a DCC-FIGARCH model to assess the dynamic relationship between these markets over the period between 2000 and 2018. Our findings report the following regularities: First, the oil-stock markets’ relationship and that between oil-importing and oil-exporting countries’ stock markets themselves is time-varying. Moreover, we note that the response of stock market returns to oil price changes in oil-importing countries changes is more pronounced than for oil-exporting countries during periods of turmoil. Second, the oil-stock dynamic correlations tend to change as a result of the origin of oil prices shocks stemming from the period of global turmoil or changes in the global business cycle. Third, oil prices significantly drive the relationship between oil-importing and oil-exporting countries’ stock markets in both high and low oil-stock correlation regimes. Full article
(This article belongs to the Special Issue International Financial Markets)
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13 pages, 847 KiB  
Article
The Impact of the Global Financial Crisis on Profitability of the Banking Industry: A Comparative Analysis
by G. Rod Erfani and Bijan Vasigh
Economies 2018, 6(4), 66; https://doi.org/10.3390/economies6040066 - 11 Dec 2018
Cited by 23 | Viewed by 13822
Abstract
In this paper, the effects of the recent global financial crisis on efficiency and profitability of financial institutions were analyzed. In a comparative study, the impacts of the global financial crisis on the performance of Islamic and commercial banks were examined. The fundamental [...] Read more.
In this paper, the effects of the recent global financial crisis on efficiency and profitability of financial institutions were analyzed. In a comparative study, the impacts of the global financial crisis on the performance of Islamic and commercial banks were examined. The fundamental difference between Islamic and conventional banking is that Islamic banking is founded upon the ethical principles of Islamic tradition and law (Sharia). By utilizing a sample of eight Islamic banks and eleven commercial banks, the impact of the global financial crisis on efficiency and profitability of the banking sector was evaluated. This study covered the period from 2006 to 2013. The results of this research were obtained from the Altman Z-score model, ratio analysis, the data envelopment analysis (DEA) method, and the seemingly unrelated regression (SUR) model. The results show that during the study period, Islamic banks (IBs) managed to maintain their efficiency while most commercial banks (CBs) suffered a loss in their efficiency. Furthermore, this study found that the financial crisis did not have a significant impact on the profitability of Islamic banks. Full article
(This article belongs to the Special Issue International Financial Markets)
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