The Impact of the Outbreak of Russia-Ukraine War on Commodity, Stock and Cryptocurrency Market s

Purpose: This paper analyzes the impact of the Russian invasion of Ukraine in February 2022 on returns of three groups of assets, i.e., commodities, stocks, and cryptocurrencies. Methodology: The study was conducted using the event study method which allows for quantifying the reaction of market p...

Full description

Saved in:
Bibliographic Details
Main Authors: Jacek Karasińki, Jan Zadrożny
Format: Article
Language:English
Published: University of Warsaw 2023-01-01
Series:Studia i Materiały
Subjects:
Online Access:https://press.wz.uw.edu.pl/sim/vol2023/iss1/6/
Tags: Add Tag
No Tags, Be the first to tag this record!
_version_ 1850067894856056832
author Jacek Karasińki
Jan Zadrożny
author_facet Jacek Karasińki
Jan Zadrożny
author_sort Jacek Karasińki
collection DOAJ
description Purpose: This paper analyzes the impact of the Russian invasion of Ukraine in February 2022 on returns of three groups of assets, i.e., commodities, stocks, and cryptocurrencies. Methodology: The study was conducted using the event study method which allows for quantifying the reaction of market participants to releases of various types of information. Findings: The cumulative abnormal returns (CARs) suggest a mostly positive effect of the conflict outbreak on returns of several commodities, especially precious metals. The obtained results suggest that in times of global crises, investors may consider precious metals as a safe haven. The study also indicates that on the event day the examined stock markets reacted negatively to information about the war, but to varying degrees. The Russian aggression against Ukraine did not affect the cryptocurrency markets in a statistically significant manner. Research limitations: The future studies related to the issue of the impact of Russian aggression against Ukraine on different markets may utilize larger research samples. They also may look for some factors affecting the reaction of markets to information related to the Russian military aggression, like the size of markets, trading volume, or geographical proximity, and economic dependence in the case of equity markets. Value: The study may provide some practical implications for both investors and regulators, especially in relation to the expected behavior of the markets and their informational efficiency in times of global crisis.
format Article
id doaj-art-8e23194130454633877eca089e9b9f4b
institution DOAJ
issn 1733-9758
language English
publishDate 2023-01-01
publisher University of Warsaw
record_format Article
series Studia i Materiały
spelling doaj-art-8e23194130454633877eca089e9b9f4b2025-08-20T02:48:12ZengUniversity of WarsawStudia i Materiały1733-97582023-01-0120231647510.7172/1733-9758.2023.38.6The Impact of the Outbreak of Russia-Ukraine War on Commodity, Stock and Cryptocurrency Market sJacek Karasińki0https://orcid.org/0000-0003-4326-5044Jan Zadrożny1https://orcid.org/0000-0002-9796-808XFaculty of Management, University of WarsawFaculty of Management, University of WarsawPurpose: This paper analyzes the impact of the Russian invasion of Ukraine in February 2022 on returns of three groups of assets, i.e., commodities, stocks, and cryptocurrencies. Methodology: The study was conducted using the event study method which allows for quantifying the reaction of market participants to releases of various types of information. Findings: The cumulative abnormal returns (CARs) suggest a mostly positive effect of the conflict outbreak on returns of several commodities, especially precious metals. The obtained results suggest that in times of global crises, investors may consider precious metals as a safe haven. The study also indicates that on the event day the examined stock markets reacted negatively to information about the war, but to varying degrees. The Russian aggression against Ukraine did not affect the cryptocurrency markets in a statistically significant manner. Research limitations: The future studies related to the issue of the impact of Russian aggression against Ukraine on different markets may utilize larger research samples. They also may look for some factors affecting the reaction of markets to information related to the Russian military aggression, like the size of markets, trading volume, or geographical proximity, and economic dependence in the case of equity markets. Value: The study may provide some practical implications for both investors and regulators, especially in relation to the expected behavior of the markets and their informational efficiency in times of global crisis.https://press.wz.uw.edu.pl/sim/vol2023/iss1/6/event studyglobal crisisrussia-ukraine warrussian invasion of ukraine 2022
spellingShingle Jacek Karasińki
Jan Zadrożny
The Impact of the Outbreak of Russia-Ukraine War on Commodity, Stock and Cryptocurrency Market s
Studia i Materiały
event study
global crisis
russia-ukraine war
russian invasion of ukraine 2022
title The Impact of the Outbreak of Russia-Ukraine War on Commodity, Stock and Cryptocurrency Market s
title_full The Impact of the Outbreak of Russia-Ukraine War on Commodity, Stock and Cryptocurrency Market s
title_fullStr The Impact of the Outbreak of Russia-Ukraine War on Commodity, Stock and Cryptocurrency Market s
title_full_unstemmed The Impact of the Outbreak of Russia-Ukraine War on Commodity, Stock and Cryptocurrency Market s
title_short The Impact of the Outbreak of Russia-Ukraine War on Commodity, Stock and Cryptocurrency Market s
title_sort impact of the outbreak of russia ukraine war on commodity stock and cryptocurrency market s
topic event study
global crisis
russia-ukraine war
russian invasion of ukraine 2022
url https://press.wz.uw.edu.pl/sim/vol2023/iss1/6/
work_keys_str_mv AT jacekkarasinki theimpactoftheoutbreakofrussiaukrainewaroncommoditystockandcryptocurrencymarkets
AT janzadrozny theimpactoftheoutbreakofrussiaukrainewaroncommoditystockandcryptocurrencymarkets
AT jacekkarasinki impactoftheoutbreakofrussiaukrainewaroncommoditystockandcryptocurrencymarkets
AT janzadrozny impactoftheoutbreakofrussiaukrainewaroncommoditystockandcryptocurrencymarkets