BİST technology sector index and other worldwide relationship between technology sector indices

In this study, the relationship between the technology sector index (XUTEK), which is calculated by using the stocks of the companies operating in the technology sector and calculated in the Stock Exchange Istanbul (BİST), and the technology sector indexes calculated in other selected stock markets in the world were investigated. Research by the scope of BIST-XUTEK index from Turkey from the US NASDAQ-100, Germany's Deutsche Borse tecdax from France, Euronext CAC Technology from the UK FTSE TECHMARK Focus, Korea from MSCI Information Technology, China from QMX China Technology from India, S & P BSE Information Technology from India, ST Technology from Singapore and Tel Aviv Stock Exchange Technology indices from Israel. The data used in the study covers the period from 04.01.2010 to 01.04.2017. The stationarity of the time series to be studied in the study was tested and then the findings of the cointegration relation between the ARDL boundary test and the series were obtained. According to the results obtained, it was determined that the BİST-XUTEK index and the technology sector indices of the US, Germany, France and Singapore stock exchanges have a cointegration relation. Impulse response functions based on the VAR model have been established in order to measure the response of the BİST-XUTEK index to internal and external shocks. According to the findings obtained here, the BİST -XUTEK index responded positively to the shocks in the technology sector indices of all developed countries except Korea, while the developing countries had a negative response to the shocks in the technology sector indices. The causality relation between the indices is examined and it is determined that there is a bi-directional causality relation between the BİST-XUTEK index and the technology sector indices of Germany and France stock exchanges. It is also seen that the US, UK, Israel and China technology sector indices have a one-sided causality relation to the BİST-XUTEK index. With the M-GARCH-BEKK model, the duration of the impact of the internal and external shocks on the BİST-XUTEK index was measured. As a result, it was determined that the BİST-XUTEK index was most affected by internal shocks.