Abstract

The financial markets have been significantly impacted by the global COVID-19 epidemic due to international lockdowns and decreased demand, which has further exacerbated the economic situation, including a decline in crude oil prices. The country has experienced economic consequences as a result of the coronavirus and subsequent lockdown measures. The Dow Jones Industrial Average (DJIA) is a price-weighted stock market index that tracks 30 major companies listed on US stock exchanges. While the DJIA is a widely recognized equity index, some professionals argue that it may not provide a comprehensive representation of the overall US stock market compared to larger indices such as the S&P 500 or Russell 2000 Index. This study aims to assess the impact of the stock market shutdown caused by COVID-19. Specifically, it investigates the extent to which the lockdown measures have affected the US stock market and whether there are any differences in market reactions before and after the onset of the pandemic. By comparing the performance of the DJIA index before and after COVID-19, the study aims to uncover the level of influence experienced.

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