The Effect of the COVID-19 Pandemic on Oil Prices: Evidence From Turkey

Energy RESEARCH LETTERS, Vol. 1, Issue 4, 2020

4 Pages Posted: 27 Jan 2021

Date Written: January 26, 2021

Abstract

This study examines the reaction of local currency oil prices to the COVID-19 pandemic using Turkish daily data (July 25, 2019 to October 30, 2020). A multivariate adaptive regression splines model is employed that considers foreign exchange (USD-TRY), credit default swap spread, global uncertainty, and global volatility as control variables. The findings show that: (i) the volatility index influences oil prices most regardless of the sample size; and (ii) the COVID-19 pandemic affects the importance of effective variables on the local currency oil prices in Turkey.

Keywords: multivariate adaptive regression splines, COVID-19 pandemic, oil prices, turkey

Suggested Citation

Kartal, Mustafa Tevfik, The Effect of the COVID-19 Pandemic on Oil Prices: Evidence From Turkey (January 26, 2021). Energy RESEARCH LETTERS, Vol. 1, Issue 4, 2020 , Available at SSRN: https://ssrn.com/abstract=3773537

Mustafa Tevfik Kartal (Contact Author)

Borsa Istanbul ( email )

Reşitpaşa Mah. Borsa İstanbul Cad. No: 4
Borsa İstanbul Cad. No: 4
Istanbul, 34467
Turkey

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
56
Abstract Views
189
rank
455,650
PlumX Metrics