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Gulf Cooperation Council Stock Returns and the Effect of Domestic Monetary Policy Shocks

Author

Listed:
  • Rashid Sbia

    (Department in Applied Economics of ULB, Solvay Brussels School of Economics and Management, Brussels, Belgium)

  • Rashid Sbia

    (Ministry of Finance, P.O Box 1565, Dubai, United Arab Emirates)

  • Helmi Hamdi

    (Aix-Marseille University, CERGAM (EA. 4225), Aix-en-Provence, France)

  • Bedri Kamil Onur Tas

    (Department of Economics, TOBB University of Economics and Technology, Ankara, Turkey)

  • Sahel Al Rousan

    (Ministry of Finance, P.O Box 1565, Dubai, United Arab Emirates)

Abstract

The aim of this paper is to analyze the effect of monetary policy on stock returns and stock return variability in the Gulf Cooperation Council (GCC) countries namely; Bahrain, Kuwait, Oman, Qatar and Saudi Arabia (United Arab Emirates was excluded for non-availability of the data). The empirical results reveal that the impact of policy interest rates on stock markets varies among GCC countries. These results have an important policy implication for the single market project and monetary union between GCC countries

Suggested Citation

  • Rashid Sbia & Rashid Sbia & Helmi Hamdi & Bedri Kamil Onur Tas & Sahel Al Rousan, 2016. "Gulf Cooperation Council Stock Returns and the Effect of Domestic Monetary Policy Shocks," International Journal of Economics and Financial Issues, Econjournals, vol. 6(2), pages 629-639.
    • Handle: RePEc:eco:journ1:2016-02-36
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Stock Market; Monetary Policy; Gulf Cooperation Council Countries;
    All these keywords.

    JEL classification:

    • G17 - Financial Economics - - General Financial Markets - - - Financial Forecasting and Simulation
    • G18 - Financial Economics - - General Financial Markets - - - Government Policy and Regulation
    • E43 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Interest Rates: Determination, Term Structure, and Effects
    • E47 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Forecasting and Simulation: Models and Applications

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