Spatial tale of G-7 and BRICS stock markets during COVID-19: An event study

The unprecedented outbreak of COVID-19 has affected every aspect the human life, be it health, social, or economic dimensions. anxiety and uncertainty wobbled economies countries worldwide. This study attempts to quantify impact on performance major stock markets G-7 nations vis-à-vis BRICS nations. An event methodology is employed capture effect systematic in form Buy Hold Abnormal Returns (BHAR) Average (ABHAR). considers a 90-day observation window, consisting six sub-event windows after news up-doves world, 120 days prior selected date estimate average expected returns. BHAR values four are statistically significant, covering from panic nosedive their correction recovery. ABHAR reported significantly negative window ranging –0.15% –38.43% for –0.06% –37.12% Despite similar trends, correlation matrix exhibit diverse reaction compared highly synchronized group COVID period.