The Impact of Sino-US Trade Conflict on the Volatility of American Stock Market

DOI

10.2991/aebmr.k.220307.496How to use a DOI?

Keywords

Sino-US trade conflict; stock market; ARMA-GARCH model

Abstract

Since the start of the Sino-US trade conflict in 2018, the United States has frequently imposed tariffs on Chinese imports. To investigate the impact of the Sino-US trade conflict on the volatility of the US stock market, this paper employs the ARMA-GARCH model and nine time points when the US announced the imposition of tariffs as dummy variables. According to the study, the Sino-US trade conflict has little impact on the US stock market, despite the significant increase in volatility in China’s stock market and the obvious decline in the rate of return. China benefited from a trade surplus but suffered from a lack of technical knowledge. The U.S. stock market was likely to occupy the technical advantage, so the stock market had little impact on the trade conflict.

Copyright

© 2022 The Authors. Published by Atlantis Press International B.V.

Open Access

This is an open access article under the CC BY-NC license.

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TY  - CONF
AU  - Xinru Su
PY  - 2022
DA  - 2022/03/26
TI  - The Impact of Sino-US Trade Conflict on the Volatility of American Stock Market
BT  - Proceedings of the 2022 7th International Conference on Financial Innovation and Economic Development (ICFIED 2022)
PB  - Atlantis Press
SP  - 3039
EP  - 3046
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.220307.496
DO  - 10.2991/aebmr.k.220307.496
ID  - Su2022
ER  -