ANALYSIS OF THE EFFECTS OF COVID-19 ON THE SHARE PRICE OF DIFFERENT SECTORS OF THE BRAZILIAN MARKET

Objective: This article aims to analyze the effects of the COVID-19 pandemic declaration by the World Health Organization (WHO) on the stock prices of the different sectors listed in B3 in the short and mid-term.Background: Given the effect of the pandemic, the perception of risk on the markets has increased, which has caused great impact in the capital market and excessive losses, bringing down stock market indices around the world. Despite all the uncertainty generated by the pandemic, different sectors of the economy are affected to distinct degrees and their ability to respond to adverse con-ditions also varies.Method: The sample included 186 companies. The method used was the study of events. The analysis was carried out considering the 100 trading sessions after the event date as a window of comparison, with the event date being March 11, 2020.Results: The results indicate that a declaration of pandemic negatively affected all Brazilian eco-nomic sectors. The sectors most affected in the short term were Information Technology, Oil, Gas and Fuels and Cyclic Consumption. In the mid term, the sectors that still showed losses were Health, Cyclic Consumption and Public Utilities.Contributions: This study contributes to the finance literature in order to understand the effects of COVID-19 in the different sectors of the economy and which sectors were most impacted, making it possible to draw strategies for the recovery of economic losses based on this understanding. Fur-thermore, this study provides information for the capital market as a whole, showing which sec-tors are more resilient in this context of crisis