Parikalpana: KIIT Journal of Management

Open Access Open Access  Restricted Access Subscription Access

Impact of COVID 19 on Sectoral Indices of NSE: An Event Study


Affiliations
1 Research Scholar, Dept. of Commerce, SN College, Kannur, Kerala, India
2 Assistant Professor & HOD of Commerce, Payyanur College, Kannur, Kerala, India
 

Covid19 have been making drastic changes in the entire world even in all the spheres of life. All the nook and corners of economy is affected by this novel corona virus and Indian economy has been in phase of recovery. In this study the impact of Covid 19 on sectoral indices of NSE along with the benchmark index Nifty 50 is analyzed in relation to the major events happened in India. A short term event windows of all events are created and based on the closing price of indices Matched Pair’s t- test is used to analyze the data. Pearson’s correlation is also used to know the short term movement of market. It’s identified that Nifty 50 always showed a tendency to minimize the decline and all the sectoral indices followed the same except Nifty pharma and Nifty IT. The increasing number of Covid 19 positive cases and fatality rate showed an impact of decline in the market.

Keywords

Covid 19, NSE Sectoral Indices, Major Events.
User
Notifications
Font Size

  • Akhila, S., & Neeraja, K. (2018). A comparative analysis of sectoral indices with NSE index. International Journal of Engineering Technology Science and Research, 5(3), 1–5. http://ijetsr.com/images/short_pdf/1522136342_1458-1462oucip930_ijetsr.pdf

  • Phan, D. H. B., & Narayan, P. K. (2020). Country Responses and the Reaction of the Stock Market to COVID-19—a Preliminary Exposition. Emerging Markets Finance and Trade, 56(10), 1–14. https://doi.org/10.1080/154 0496X.2020.1784719

  • Liu, H. Y., Manzoor, A., Wang, C. Y., Zhang, L., & Manzoor, Z. (2020). The COVID-19 Outbreak and A ected Countries Stock Markets Response. International Journal of Environmental Research and Public Health, 17, 1–19. https://doi.org/10.3390/ijerph17082800

  • ALAM, M. N., ALAM, M. S., & CHAVALI, K. (2020). Stock Market Response during COVID-19 Lockdown Period in India:An Event Study. Journal of Asian Finance, Economics and Business, 7(7), 1– 7. https://doi.org/10.13106/jafeb.2020.vol7.no7.131

  • Tripathi, V., & Kumar, A. (2015). Sectoral Efficiency of the Indian Stock Market and the Impact of Global Financial Crisis. Journal of Commerce & Accounting Research, 4(1), 1–13. http://ssrn.com/abstract=2605374

  • Sireesha, P. (2016). Impact of Union Budget on Sectoral Indices of NSE. The Indian Management Researcher, 3(1), 1–17. https://ssrn.com/abstract=2879538 Aravind, M. (2017). The Dynamic Linkage Among Sectoral Indices: Evidence from Indian Stock Market.

  • Rajagiri Management Journal, 11(2), 1–18. https://ssrn.com/abstract=3126747 Saxena, P. K., & Khanna, K. (2012). Impact of Quarterly Results on Sensex and Market Volatility - An Empirical Research. Journal of Accounting & Finance, 26(1), 1–10. http://ssrn.com/abstract=2111715

  • Sutrisno, B. (2017). Macroeconomic Variables and Sectoral Indices: Case in the Indonesian Stock Exchange. Etikonomi, 16(1), 1–10. https://doi.org/10.15408/etk.v16i1.4323

  • Sakaki, H. (2019). Oil Price Shocks and the Equity Market: Evidence for the S&P 500 Sectoral Indices. ., 1–36. https://ssrn.com/abstract=3340063

  • Estrada, M. A. R., Koutronas, E., & Lee, M. (2020). Stagpression: The Economic and Financial Impact of COVID-19 Pandemic. ., 1–16. https://ssrn.com/abstract=3593144

  • Jasuja, D., & Sharma, P. (2020). Anticipation of Consequences & Sectoral Impact of COVID-19 – An Indian Outlook. XV National Conference on Sustainable Management Practices & Economic Slowdown in India, 1–26. https://ssrn.com/abstract=3626278

  • Kotishwar, A. (2020). IMPACT OF COVID-19 PANDEMIC ON STOCK MARKET WITH REFERENCE TO SELECT COUNTRIES – A STUDY. Academy of Accounting and Financial Studies Journal, 24(4), 1–9. https://www.abacademies.org/articles/Impact-of-Covid-19-Pandemic-on-Stock-Market-with-Reference-to-Select-Countries-1528-2635-24-4-568.pdf

  • Ngwakwe, C. C. (2020). Effect of COVID-19 Pandemic on Global Stock Market Values: A Differential Analysis. Economica, 16(2), 1–15. http://journals.univdanubius.ro/index.php/oeconomica/article/view/6548


Abstract Views: 506

PDF Views: 1




  • Impact of COVID 19 on Sectoral Indices of NSE: An Event Study

Abstract Views: 506  |  PDF Views: 1

Authors

Shibila E.
Research Scholar, Dept. of Commerce, SN College, Kannur, Kerala, India
Jayarajan T. K.
Assistant Professor & HOD of Commerce, Payyanur College, Kannur, Kerala, India

Abstract


Covid19 have been making drastic changes in the entire world even in all the spheres of life. All the nook and corners of economy is affected by this novel corona virus and Indian economy has been in phase of recovery. In this study the impact of Covid 19 on sectoral indices of NSE along with the benchmark index Nifty 50 is analyzed in relation to the major events happened in India. A short term event windows of all events are created and based on the closing price of indices Matched Pair’s t- test is used to analyze the data. Pearson’s correlation is also used to know the short term movement of market. It’s identified that Nifty 50 always showed a tendency to minimize the decline and all the sectoral indices followed the same except Nifty pharma and Nifty IT. The increasing number of Covid 19 positive cases and fatality rate showed an impact of decline in the market.

Keywords


Covid 19, NSE Sectoral Indices, Major Events.

References





DOI: https://doi.org/10.23862/kiit-parikalpana%2F2021%2Fv17%2Fi1%2F209036