Impact of Oil Prices on GCC Stock Market

Abstract

This paper investigates the impact of oil Prices on Gulf Cooperation Council (GCC) stock markets’. Since GCC countries are major suppliers of oil, their stock markets are likely to be susceptible to change in oil prices. The results confirm that there is an influence of oil price change on GCC stock markets returns in the long-term. Long term is defined here as the period of time required for the effect of oil price changes to work out its way to influence major macroeconomic indicators that influence profitability of firms traded in GCC stock markets.