THE ASYMMETRIC EFFECT OF OIL PRICE ON THE EXCHANGE RATE AND STOCK PRICE IN NIGERIA

The study examines the asymmetric effect of oil price on exchange rate and stock using Nonlinear Autoregressive Distributive Lag (NARDL) technique time-series data spanning from January 1996 to September 2020. multivariate cointegration test showed evidence a long-run relationship among price, rate, price. linear Granger causality that is granger caused by cause rate. nonlinear nonlinearity BDS test. Dick-Panchenko non-parametric in contrary unidirectional at 10% level, 1% levels respectively. result ARDL revealed change impacted asymmetrically both short-run long-run. recommends revenue generated increasing should be used for developing reinstalling decayed infrastructure oil-exporting countries develop mechanisms strategies will ensure fair stability capital markets irrespective shocks Keywords: Exchange Oil model, Stock JEL Classifications : E52, L61, F31, C32, G15 DOI: https://doi.org/10.32479/ijeep.10977