The current study aims to investigate how index returns of conventional and shariah indices of the USA, Europe, and Asia are affected by changes in oil prices, gold prices, VIX, gold-VIX, and oil-VIX. In our investigation, we used the S&P 500, S&P Europe 350, S&P Pan Asia, and their relevant shariah counterparts for the USA, Europe, and Asia. To examine how the explanatory factors affect the overall distribution of the explained variables, we used OLS and quantile regression. For the time frame prior to Covid-19, we discover that all volatility indices—OVX, GVZ, and VIX—influence returns of all indices simultaneously, and that all variables—aside from the spot price of oil—have a greater impact during the bear phase according to QR findings. Further, Volatility indices have a greater impact on volatility of index returns during the Covid-19 period. This is largely because the Covid-19 outbreak had a rapid impact on economies all around the world, and the only thing that affected financial markets consistently was high volatility. This is further supported by the findings of BEKK, which demonstrate that volatility extends across all markets and originates from commodities like gold, oil, gold-VIX, and VIX. Evidence for this can be seen in the fact that during the COVID-19 period, stock prices reacted more favorably to oil price volatility than to oil spot prices, which even went negative on April 20, 2020. Because of this, market stability can be promoted by reducing volatility through the prompt dissemination of crucial information, even while governments have little direct control over the prices of significant commodities like gold and crude oil.

Asset restructuring has become a key tool for banks to deal with non-performing assets (NPAs) and sustain banking sector health, especially in emerging economies like India where the quality of assets is a persistent issue. This study examines the effect of asset restructuring on financial performance and financial stability of the Indian scheduled commercial banks through a dynamic panel framework. The analysis utilizes panel data of 97 scheduled commercial banks during the time frame 2015–2025 which generates 608 observations. Endogeneity, autocorrelation and heterogeneity issues are tackled by using a two-step system Generalized Method of Moments (GMM) estimation approach. The asset quality, financial stability (measured with Z score), capital adequacy and liquidity are the four major dimensions of banking performance under consideration. The empirical results suggest that restructuring has no long-term statistically significant impact on asset quality and financial stability, which suggests that restructuring may not be an effective way to increase the fundamental credit risk profile of banks. The results, however, illustrate a strong negative effect on the capital adequacy and liquidity. The two-step system GMM estimation results indicate that asset restructuring results in around 0.5% reduction in capital adequacy and 5.9% reduction in liquidity, which shows the mechanism of the short-term NPA resolution and long-term banking resilience. Moreover, NPA provisioning and operating efficiency have a positive impact on bank stability and bank capitalization and higher profitability has positive impact on liquidity performance. The study findings suggest that restructuring assets can be a short-term solution for the management of distressed assets, but overusing restructuring might cause a decline in long-term sustainability. The results offer valuable policy insights related to the reinforcement of restructuring systems, risk management practices and the enhancement of regulatory oversight in new banking systems.