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Twitter matters for metaverse stocks amid economic uncertainty

Author

Listed:
  • Ahmet Faruk Aysan

    (HBKU - Hamad Bin Khalifa University [Doha, Qatar])

  • Jonathan Batten

    (RMIT University - Royal Melbourne Institute of Technology University)

  • Giray Gozgor

    (University of Bradford, LAU - Lebanese American University)

  • Rabeh Khalfaoui

    (ICN Business School, CEREFIGE - Centre Européen de Recherche en Economie Financière et Gestion des Entreprises - UL - Université de Lorraine)

  • Zhamal Nanaeva

    (HBKU - Hamad Bin Khalifa University [Doha, Qatar])

Abstract

This paper examines the influence of economic uncertainty, measured by the Twitter-based economic uncertainty index (TEU), on Metaverse stocks across various time-frequency domains. Employing the Wavelet Local Multiple Correlation analyses, we find a robust correlation between the TEU and Metaverse stocks market across all examined time horizons. Moreover, the findings confirm the positive correlation by including crude oil and gold volatilities. Obtained results bear significant policy implications for investors and traders, emphasizing the importance of considering economic uncertainty in decision-making processes.

Suggested Citation

  • Ahmet Faruk Aysan & Jonathan Batten & Giray Gozgor & Rabeh Khalfaoui & Zhamal Nanaeva, 2023. "Twitter matters for metaverse stocks amid economic uncertainty," Post-Print hal-04316403, HAL.
    • Handle: RePEc:hal:journl:hal-04316403
    DOI: 10.1016/j.frl.2023.104116
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    References listed on IDEAS

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    Cited by:

    1. Aysan, Ahmet Faruk & Batten, Jonathan & Gozgor, Giray & Khalfaoui, Rabeh & Nanaeva, Zhamal, 2024. "Metaverse and financial markets: A quantile-time-frequency connectedness analysis," Research in International Business and Finance, Elsevier, vol. 72(PB).
    2. Aharon, David Y. & Alon, Ilan & Vakhromov, Oleg, 2024. "Metaverse tokens or metaverse stocks – Who’s the boss?," Research in International Business and Finance, Elsevier, vol. 69(C).
    3. Kropiński, Paweł & Bosek, Bartłomiej & Pudo, Mikołaj, 2024. "State ownership, probability of informed trading, and profitability potential: Evidence from the Warsaw Stock Exchange," International Review of Financial Analysis, Elsevier, vol. 95(PB).
    4. Ghosh, Indranil & Alfaro-Cortés, Esteban & Gámez, Matías & García-Rubio, Noelia, 2024. "Reflections of public perception of Russia-Ukraine conflict and Metaverse on the financial outlook of Metaverse coins: Fresh evidence from Reddit sentiment analysis," International Review of Financial Analysis, Elsevier, vol. 93(C).
    5. Zeng, Hongjun & Abedin, Mohammad Zoynul & Zhou, Xiangjing & Lu, Ran, 2024. "Measuring the extreme linkages and time-frequency co-movements among artificial intelligence and clean energy indices," International Review of Financial Analysis, Elsevier, vol. 92(C).
    6. Abakah, Emmanuel Joel Aikins & Wali Ullah, G M & Abdullah, Mohammad & Lee, Chi-Chuan & Sulong, Zunaidah, 2024. "Correlation structure between fiat currencies and blockchain assets," Finance Research Letters, Elsevier, vol. 62(PA).

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