NEW PUBLICATION: This study analyzes the effects of US partisan conflict and US-China political relation news shocks on the oil market. A shock to partisan conflict leads to a drop in the political relations news index, a decrease in oil demand, and an increase in oil prices. When the political relations news index rises, it significantly reduces oil demand and prices, with only minor effects on oil supply. The study also finds that negative political news shocks have a more significant impact on the oil market compared to positive news shocks, leading to lower oil prices and demand. These findings suggest important policy considerations for managing the impacts of political news on the oil market.
You can find the preprint version, the abstract, the keywords, and the online appendix in an older post:
You can quote this article as:
Cai, Y., Saadaoui, J., & Uddin, G. S. (2025). US Partisan Conflict, Sino-US Political Relation News, and Oil Market Dynamics. Energy Economics, 108820. Open Access thanks to a grant from the Université Paris VIII Vincennes-Saint-Denis.
