Impacts of International Sports Events on the Stock Market: Evidence from the Announcement of the 18th Asian Games and 30th Southeast Asian Games

This paper assesses the influence of hosting major international sporting competitions on host countries’ stock market performance before and after announcement such events. Specifically, this study explores whether markets countries experience cumulative average abnormal return (CAAR) during aforementioned period. For purposes investigation, considers announcements 18th Asian Games 30th Southeast hosted by Indonesia Philippines, respectively. The LQ45 index Stock Exchange (IDX) PSEi Philippines (PSE) were chosen to test significance these It is found that only PSE experienced a significantly positive CAAR for event. Findings can make significant contribution helping national governments investors understand sports economies developing how events improve efficiency.