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How precious metal and energy resources interact with clean energy stocks? Fresh insight from the novel ARDL technique

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Abstract

To boost the stability of economic and financial aspects along with the apprehensions for sustainability, it is important to promote the development of clean energy stocks around the globe. In the current research, the researchers have examined the impact of oil prices, coal prices, natural gas prices, and gold prices on clean energy stock using the autoregressive distribution lag (ARDL) approach from the year 2011 to the year 2020. The result of daily data analysis specifies that in the long as well as in the short run, gold prices, oil prices, and coal prices have a positive and significant effect on clean energy stock. On the other side, natural gas prices in the long as well as in the short run have a negative and significant effect on clean energy stock. So, the empirical analysis of our study is of interest to investors at an institutional level who aim at detecting the risk associated with the clean energy market through proper financial modeling. Besides, this study opens up a new domain to sustain financial as well as economic prospects by protecting the environment through clean energy stock as the investment in clean energy stocks results in producing a substantial effect on the economy and the environment as well.

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Data availability

The data of this manuscript was collected from different websites, i.e., World Gold Council, S&P, Federal Reserve Economic Data, and investing.com.

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Authors and Affiliations

  1. Department of Business Studies, Bahria Business School, Bahria University, Karachi, Pakistan

    Munaza Bibi

  2. Management Studies Department, Bahria Business School, Bahria University, Islamabad, Pakistan

    Muhammad Kamran Khan

  3. Department of Business Studies, Bahria Business School, Bahria University, Islamabad, Pakistan

    Sobia Shujaat

  4. Dar-ul-Madina International University, Islamabad, Pakistan

    Danish Iqbal Godil

  5. Othman Yeop Abdullah Graduate School of Business, Universiti Utara Malaysia, Changlun, Malaysia

    Arshian Sharif

  6. Department of Business Administration, ILMA University, Karachi, Pakistan

    Arshian Sharif

  7. School of Public Administration, Xi’an University of Architecture and Technology, Xi’an, China

    Muhammad Khalid Anser

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  1. Munaza Bibi
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Contributions

Munaza Bibi: original draft

Muhammad Kamran Khan: formal analysis

Sobia Shujaat: revision, writing draft

Danish Iqbal Godil: writing—original draft, conceptualization

Arshian Sharif: supervision

Muhammad Khalid Anser: supervision

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Correspondence to Danish Iqbal Godil.

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Bibi, M., Khan, M.K., Shujaat, S. et al. How precious metal and energy resources interact with clean energy stocks? Fresh insight from the novel ARDL technique. Environ Sci Pollut Res 29, 7424–7437 (2022). https://doi.org/10.1007/s11356-021-16262-7

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