2015

Permanent URI for this collection

Now showing 1 - 1 of 1

Impact of Macroeconomic Variables on Stock Market Indices
(UMT, Lahore, 2015-09-15) Saman Rubab
Purpose − Present study seeks to investigate the impact of macroeconomic variables on stock market indices in case of SAARC countries. Design /Approach/Methodology − Data for dependent variable (stock market index) and independent variables (money supply, inflation, interest rate, gross domestic product, exchange rate and foreign direct investment) is collected covering time period from 1995 to 2014. Ordinary least square regression, fixed effect and random effect techniques are used to examine the impact of macroeconomic variables on stock market indices in case of SAARC countries. Findings − Results of study indicate that money supply, exchange rate, and interest rate have positive and significant relationship with stock market index. Further it is observed that inflation and foreign direct investment have positive but insignificant relationship with stock market index in case of SAARC countries. Originality/Value −This is the first study to observe the impact of macroeconomic variables on stock market indices in case of SAARC countries