Figure 14.
The two panels labelled a and b display wavelet coherence between C P U index and D J S U K O and J P E I E M S I indices. The time axis ranges from 2017 to 2024, and the scale ranges from 4 to 1024. Coherence is stronger at lower frequency bands with large highlighted regions around 2019 to 2022 and extending to 2024. Higher frequency areas show intermittent small patches of coherence. Directional arrows indicate shifting lead and lag relationships across different periods.Continuous wavelet transform correlation of CPU versus two sukuk Indices (2017–2024)
Note(s): The region above the cone of influence (delineated by the parabola in gray color) shows the statistically significant areas in the scalogram. DJSUKO Index is Dow Jones Sukuk Index OAS; and JPEIEMSI Index is Morgan Global IG Sukuk Index Total Return
Source: Authors’ own work; see data section for sources