skip to main content
Language:
Search Limited to: Search Limited to: Resource type Show Results with: Show Results with: Search type Index

Exploring the nexus between sectoral stock market fluctuations and macroeconomics changes before and during the COVID-19 pandemic

Cogent business & management, 2024-12, Vol.11 (1) [Peer Reviewed Journal]

EISSN: 2331-1975 ;DOI: 10.1080/23311975.2024.2336681

Full text available

Citations Cited by
  • Title:
    Exploring the nexus between sectoral stock market fluctuations and macroeconomics changes before and during the COVID-19 pandemic
  • Author: Suriani Suriani ; Anabela Batista Correia ; Muhammad Nasir ; João Xavier Rita ; Jumadil Saputra ; Mario Nuno Mata
  • Subjects: cointegration approach ; Indonesia stock exchange ; Macroeconomic fluctuations ; Mazhar Abbas, Cholistan University of Veterinary and Animal Sciences Bahawalpur, Pakistan ; sectoral stock price ; vector autoregressive model
  • Is Part Of: Cogent business & management, 2024-12, Vol.11 (1)
  • Description: AbstractInvestors may find it challenging to invest due to economic fluctuations during COVID-19. This study aims to examine the relationship between economic fluctuations and the Indonesian sectoral stock market in the consumer goods sector (CGI), basic industrial and chemical sector (BIC), and miscellaneous industry (MSI), both before and during the COVID-19 pandemic in Indonesia. The monthly time-series data used in the empirical approach cover the period from January 2008 to December 2020. The analysis used forecast error variance decomposition, vector autoregression, impulse response function analysis, and causality investigation. The econometric results showed that previous period shocks in each industrial sector stock market had a disadvantageous effect on future stock market earnings. Additionally, while the CGI stock market positively affects the Rupiah exchange rate, the MSI industrial sector is negatively impacted by inflationary pressures. Also connected to the MSI stock market are fluctuations in inflation. Conversely, the exchange rate affects MSI and CGI. Furthermore, for the CGI and BIC stock markets, a one-way causation relationship is observed. Another notable result was that all three industrial sectors responded positively when inflation and exchange rates were disrupted. It implies that, for convenience, investors will seek out other areas of the stock market. Therefore, a quick government response is needed to handle the economy during economic fluctuations accompanied by the COVID-19 pandemic so that it does not have an impact on the future.
  • Publisher: Taylor & Francis Group
  • Language: English
  • Identifier: EISSN: 2331-1975
    DOI: 10.1080/23311975.2024.2336681
  • Source: Taylor & Francis Open Access Journals
    ROAD: Directory of Open Access Scholarly Resources
    ProQuest Central
    DOAJ Directory of Open Access Journals
Back to results list
INSPIRE LIBRARY - TON DUC THANG UNIVERSITY (84-028) 37 755 057 Feedback
19 Nguyen Huu Tho St. Dist.7, HCM thuvien@tdtu.edu.vn

Copyright © 2017 INSPIRE LIBRARY - TON DUC THANG UNIVERSITY

Searching Remote Databases, Please Wait