Abstract:

The health crisis has led to a financial crisis and the various stock markets are also suffering from the virus. The consequences for the economy and individual investments are real. Therefore, our article tends to explain the relationship between the spread of the Coronavirus and the financial market behavior. To this end, we use the Non-linear Autoregressive Distributed Lag (NARDL) model. Our results, then, show that the financial market is negatively impacted by the spread of Coronavirus. Also, we note that the impact of positive and negative variations in new cases and deaths caused by COVID-19 have an impact on the values ​​of market indexes.