Journal of Economics and Financial Analysis, 6 (1), pp. 55-76, [2022]
URI: https://ojs.tripaledu.com/index.php/jefa/article/view/73/84

The COVID-19 Crisis and Interaction between the JSE, Real Estate, Energy, Commodity and Cryptocurrency Markets





DOI: http://dx.doi.org/10.1991/jefa.v6i1.a51

Abstract

This paper examines the long-run interactions between South African stock (JSE) and real estate markets, with global asset markets such as oil, gold, platinum, and cryptocurrency markets during pre-Covid-19 tranquil period and during Covid-19 pandemic period comparatively using cointegration, causality and structural break tests. Findings of the paper shed light on the fact that cointegrations relationships between Bitcoin - JSE, Oil - JSE, and Real Estate – JSE were significant during pre-Covid period, while these significances weakened or disappeared during Covid period. On the other hand, cointegration relations show up between Oil – Platinum market and Gold – Real Estate market. It implies that JSE became volatile during Covid period comparing to Oil, Platinum, Gold markets in South Africa.

Keywords

COVID-19 Crisis; South African Markets; Commodities; Cryptocurrency; Cointegration.

JEL Classification

C12, C5, G1, G15, G32, R3.

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