RT Journal Article
T1 How do supply or demand shocks affect the US oil market?
A1 Vides González, José Carlos
A1 Feria Gallardo, Julia
A1 Golpe Moya, Antonio Aníbal
A1 Martín Álvarez, Juan Manuel
AB The study of the relationship between crude oil and its refined products prices maybe perceived as an important tool for testing how are the dynamics and the typeof integration of the petro-derivatives market in the United States. In this sense,we have applied a set of causality tests to study the possible presence of asymmetriesin the relationship between WTI crude oil and each refined product priceand to explore the type of market integration. Furthermore, the application of thesecausality tests lets us explore the validation of different hypotheses in the literature,such as the Rocket and Feathers hypothesis and the Verleger hypothesis. Our findingsreveal that Reformulated Gasoline Blendstock for Oxygen Blending (RBOB), heating oil,diesel and kerosene are supply-driven integrated and conventional gasoline and keroseneare demand-driven integrated when linear effects are assessed. This behaviourchanges deeply when the existence of asymmetries is tested, noticing that the Rocketand Feathers hypothesis is not fulfilled when a negative shock appears. Conversely,the Verleger hypothesis is supported when a negative shock appears for conventionalgasoline and kerosene. These results provide important policy implications for investors,energy policymakers and refiners.
PB Springer
SN 2199-4730 (electrónico)
YR 2024
FD 2024
LK https://hdl.handle.net/10272/23687
UL https://hdl.handle.net/10272/23687
LA eng
NO Vides, J. C., Feria, J., Golpe, A. A., & Martín-Álvarez, J. M. (2024). How do supply or demand shocks affect the US oil market? In Financial Innovation (Vol. 10, Issue 1). Springer Science and Business Media LLC. https://doi.org/10.1186/s40854-023-00561-8
DS Repositorio Institucional de la Universidad de Huelva
RD 30 may 2026