Akademik Veri Yönetim Sistemi
MTÜ Sosyal ve Beşeri Bilimler Dergisi, cilt.5, sa.2, ss.392-402, 2025 (Hakemli Dergi)
This study investigates the impact of the Israel–Palestinian conflict that began on October 7, 2023, on the stock market indices of Turkey and Middle Eastern countries. The analysis covers the stock exchanges of Palestine, Israel, Egypt, Qatar, Lebanon, the United Arab Emirates, Jordan, Kuwait, Saudi Arabia, Oman, and Bahrain. The short-term market reaction is evaluated through abnormal returns within the event study framework. Abnormal returns (AR) and cumulative abnormal returns (CAR) were calculated based on the closing prices of each country's benchmark index. The empirical findings indicate that the average cumulative abnormal returns (CAR) observed in the event window are positive and statistically significant, implying a measurable market response to the conflict. In contrast, daily abnormal returns (AR) are not statistically significant, suggesting that the impact materialized gradually through cumulative pricing adjustments rather than an immediate one-day shock. Overall, the results demonstrate that the conflict generated a short-term and directional reaction in regional stock markets and significantly influenced market sentiment