DETECTING ASSET PRICE BUBBLES DURING THE COVID-19 CRISIS AND ITS IMPLICATIONS: EVIDENCE FROM THE STOCK AND OIL MARKET

This study investigates whether the COVID-19 pandemic has caused asset price bubbles in stock and oil markets United States Malaysia. More specifically, seeks to detect onset end of possible speculative their causes these markets. It also examines existence a contagion effect between during Covid-19 pandemic. To achieve objectives, used Generalized SADF (GSADF) developed by Phillips et al. (2015) order check for within time frame from January 1, 2020, April 24,2020. technique allows one look occurrence multiple sample period with great precision. The findings showed that five out six equities, including indices had bubbles. Evidence was obtained which linked explosive activity episodes crude market US start point each bubble event. These add not only literature on financial energy initial outbreak COVID-19, but significance negative impact pandemics effects under extreme conditions.