• ISSN: 2010-023X (Print)
    • Abbreviated Title: Int. J. Trade, Economics and Financ.
    • Frequency: Quaterly
    • DOI: 10.18178/IJTEF
    • Editor-in-Chief: Prof.Tung-Zong (Donald) Chang
    • Managing Editor: Ms. Shira. W. Lu
    • Abstracting/ Indexing:  Crossref, Electronic Journals Library , EBSCO
    • E-mail: ijtef.editorial.office@gmail.com
IJTEF 2022 Vol.13(3): 66-70 ISSN: 2010-023X
DOI: 10.18178/ijtef.2022.13.3.726

The Influence of International Crude Oil Price on the Stock Price of Chinese Oil Companies

Yuzhou Huang and Qianru Zhuo

Abstract—With the rapid development of China's social economy, the development speed of various industries in China is also accelerating, but the development speed of China's oil industry has been relatively slow, and there is a large gap compared with the developed countries. From the perspective of the development of futures market and stock market, the trend of foreign oil companies' stock price and the change of oil price usually have significant synchronization, but the change of Chinese oil companies' stock price is very difficult to improve. This also shows that the ability of enterprises to deal with market risks is relatively poor. In this case, facing the fluctuation of international oil price, Chinese oil companies are very vulnerable to heavy losses, so they must make targeted adjustment and improvement in the follow-up time. This paper first expounds the theoretical transmission path of the impact of the original international price on the stock price of Chinese oil enterprises, analyzes the fluctuation of the international oil price and the specific impact of the international oil price on Chinese oil enterprises. This paper mainly adopts the methods of theoretical analysis and empirical analysis, taking the daily return index of 11 Chinese a-share companies and the daily return index of WTI as A variable through data processing and weighted average, and taking the daily value data from January 2015 to September 2019 as the interval sample. VAR model is used to analyze the influence of international crude oil price on the stock price of Chinese oil enterprises from the perspective of price spillover effect, and Finally, four suggestions are put forward .For the development strategy of Chinese oil enterprises in the follow-up time has brought certain reference and reference to the development of Chinese oil enterprises in the domestic and foreign environment.

Index Terms—Crude oil price, petroleum enterprise, enterprise stock price, VAR model, industrial chain integration.

Yuzhou Huang is with Macau University of Science and technology, MUST, Macau, China (e-mail: Huangyz414@qq.com).
Qianru Zhuo is with National Chengchi University, NCCU, TaiPei City, Taiwan (e-mail: zhuoqr@163.com).

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Cite: Yuzhou Huang and Qianru Zhuo, "The Influence of International Crude Oil Price on the Stock Price of Chinese Oil Companies," International Journal of Trade, Economics and Finance vol.13, no.3, pp. 66-70, 2022.

Copyright © 2022 by the authors. This is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited (CC BY 4.0).

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