The impact of oil prices on ISE indices

Abstract

Changes in oil prices, which is one of the major inputs of industrial production has been identified in some surveys as having a significant impact on shares of industrial companies’ prices. On the other hand, in the direction of stock prices reacting to changes in oil prices are also a widespread belief. From this point forth, the main aim of this chapter is to research the long-term relationship between oil-prices and ISE 100, ISE Electricity, ISE Industrials, ISE Chemical, Petroleum and plastic index. In this study, Granger co integration analyzes and Granger causality test will be applied to determine the relationship of time series.