A revised approach to testing for asymmetric intermarket spillover effects

This paper applies a modified DCC framework to test for asymmetric intermarket spillover effects from the US to a sample of G7 stock markets following the outbreak of the COVID-19 pandemic. The adjustment proposed in this research article addresses the shortcomings associated with the methodologies...

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Main Authors: Najib Shrydeh, Mohammed Shahateet, Suleiman Mohammad, Mohammad Sumadi
Format: Article
Language:English
Published: Taylor & Francis Group 2025-12-01
Series:Cogent Economics & Finance
Subjects:
Online Access:https://www.tandfonline.com/doi/10.1080/23322039.2024.2440440
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author Najib Shrydeh
Mohammed Shahateet
Suleiman Mohammad
Mohammad Sumadi
author_facet Najib Shrydeh
Mohammed Shahateet
Suleiman Mohammad
Mohammad Sumadi
author_sort Najib Shrydeh
collection DOAJ
description This paper applies a modified DCC framework to test for asymmetric intermarket spillover effects from the US to a sample of G7 stock markets following the outbreak of the COVID-19 pandemic. The adjustment proposed in this research article addresses the shortcomings associated with the methodologies developed by, inter alia, Forbes and Rigobon (2002). The results demonstrate that spillover is less likely to propagate across highly developed and firmly integrated financial markets.
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institution Kabale University
issn 2332-2039
language English
publishDate 2025-12-01
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series Cogent Economics & Finance
spelling doaj-art-eecf90622a924df8af6a359ce7eb054f2024-12-18T10:38:25ZengTaylor & Francis GroupCogent Economics & Finance2332-20392025-12-0113110.1080/23322039.2024.2440440A revised approach to testing for asymmetric intermarket spillover effectsNajib Shrydeh0Mohammed Shahateet1Suleiman Mohammad2Mohammad Sumadi3Princess Sumaya University for Technology, Amman, JordanPrincess Sumaya University for Technology, Amman, JordanPrincess Sumaya University for Technology, Amman, JordanPrincess Sumaya University for Technology, Amman, JordanThis paper applies a modified DCC framework to test for asymmetric intermarket spillover effects from the US to a sample of G7 stock markets following the outbreak of the COVID-19 pandemic. The adjustment proposed in this research article addresses the shortcomings associated with the methodologies developed by, inter alia, Forbes and Rigobon (2002). The results demonstrate that spillover is less likely to propagate across highly developed and firmly integrated financial markets.https://www.tandfonline.com/doi/10.1080/23322039.2024.2440440DCCVARasymmetric volatility spilloversheteroskedasticyshock transmission mechanisminterdependence
spellingShingle Najib Shrydeh
Mohammed Shahateet
Suleiman Mohammad
Mohammad Sumadi
A revised approach to testing for asymmetric intermarket spillover effects
Cogent Economics & Finance
DCC
VAR
asymmetric volatility spillovers
heteroskedasticy
shock transmission mechanism
interdependence
title A revised approach to testing for asymmetric intermarket spillover effects
title_full A revised approach to testing for asymmetric intermarket spillover effects
title_fullStr A revised approach to testing for asymmetric intermarket spillover effects
title_full_unstemmed A revised approach to testing for asymmetric intermarket spillover effects
title_short A revised approach to testing for asymmetric intermarket spillover effects
title_sort revised approach to testing for asymmetric intermarket spillover effects
topic DCC
VAR
asymmetric volatility spillovers
heteroskedasticy
shock transmission mechanism
interdependence
url https://www.tandfonline.com/doi/10.1080/23322039.2024.2440440
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