US partisan conflict, Sino-US political relation news, and oil market dynamics
研究美国党派冲突和中美政治关系新闻冲击对石油市场的影响，发现负面新闻对油价和需求的影响比正面新闻更大。
This study analyzes the effects of US partisan conflict and US-China political relation news shocks on the oil market. A shock to partisan conflict leads to a drop in the political relations news index, a decrease in oil demand, and an increase in oil prices. When the political relations news index rises, it significantly reduces oil demand and prices, with only minor effects on oil supply. The study also finds that negative political news shocks have a more significant impact on the oil market compared to positive news shocks, leading to lower oil prices and demand. These findings suggest important policy considerations for managing the impacts of political news on the oil market. • Partisan conflict increases US-China tensions, and then, we find a decrease in oil demand and an increase in oil prices. • A better geopolitical relation between the US and China reduces oil demand and prices. • A reduction in bad political news has a more significant impact on the oil market compared with an increase in good news. • Political news relative to the US-China relation significantly shapes oil demand, supply, and price dynamics.