gistfile1.txt

Ubaid Sheikh
12/08/2020

** Final Project Do File

**Downloaded the S&P 500 data from Yahoo Finance
getsymbols AAPL ^GSPC, fy(2019) fm(9) yahoo

sum adjclose_AAPL volume_AAPL adjclose__GSPC volume__GSPC 
scatter adjclose_AAPL daten
histogram adjclose_AAPL, normal

bro

gen time=_n
gen covid=0
replace covid=1 if time >105

**1st Initial regression
reg adjclose_AAPL volume_AAPL adjclose__GSPC volume__GSPC 

**2nd Regression with lag variable and dummy variable
reg adjclose_AAPL volume_AAPL adjclose__GSPC volume__GSPC L.adjclose__GSPC covid 

**check for skewness for possible transformation 
tabstat adjclose_AAPL volume_AAPL adjclose__GSPC volume__GSPC, stats(sk)

**generate logs
gen log_adjclose_AAPL
gen log_volume_AAPL
gen log_volume__GSPC

**3rd new regression with log transformation
reg log_adjclose_AAPL log_volume_AAPL adjclose__GSPC log_volume__GSPC covid

**4th new regression with slope dummy 
reg log_adjclose_AAPL log_volume_AAPL adjclose_AAPL log_volume__GSPC L.adjclose__GSPC covid covid#c.adjclose__GSPC

**get residuals and squared residuals
predict uhat,resid
gen uhat2=uhat^2

**dwatson test
estate dwatson

**Breusch-Godfrey test 
reg uhat l.uhat l2.uhat adjclose_AAPL

2020 S&P 500 stock market crash

This is the code for my project that uses stata to show how S&P 500 stock such Apple has been affected due to the covid-19 crisis. I performed regression analysis and used log transformational variable along with lag variable as well as a slope dummy variable such as covid. More so, I used time series methods such prediction function, dwatson test, Breusch-Godfrey test to check the results.