Oil spillover impacts major stock markets, revealing dynamic and volatile connections.
The article analyzes how oil prices affect stock market returns and volatility from 2000 to 2017. They used a spillover index to measure the connection between oil and stocks. Results show that both WTI and Brent oil prices have a significant impact on stock markets. The spillover index values for WTI and Brent are around 71-72%. The study found that some stock markets receive more spillover effects from oil prices, while others contribute more to the spillover. Overall, the relationship between oil and stock markets is dynamic and volatile.