Investigating the effects of oil pr

Investigating the effects of oil price on GCC stock markets is interesting for several reasons. First, as
they are major suppliers of oil in world energy markets, their stock markets are likely to be susceptible to
changes in oil prices. Second, GCC markets differ from those of developed and from other emerging
countries in that they are segmented from international markets and are overly sensitive to regional
political events. Finally, GCC markets are very promising areas for international portfolio diversification.
Studying the influence of oil price shocks on GCC stock market returns can help the investors to make
necessary investment decisions and may be of use to policymakers who regulate stock markets. For these
reasons, a study centred on GCC countries should be of great interest.