Impact of Macroeconomic Variables on Karachi Stock Market Returns

Pervaiz, Javed; Masih, Junaid; Jian-zhou, Teng

doi:10.5539/ijef.v10n2p28

Cited by 8 publications

(3 citation statements)

References 7 publications

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“…Authors used regression analysis for result. The result reveals that there is significant impact on stock return and result matched with previous finding in other researcher that the inflation have negative relation with return (Pervaiz, Masih, & Jian-Zhou, 2018). Pacine (2017) empirically investigated macroeconomic factors on firm performance in the United Kingdom using data from Top 100 firm in UK during 2000 to 2014.…”

Section: Literature Reviewsupporting

confidence: 68%

Impact of Macroeconomic Variables on Financial Performance: Evidence of Automobile Assembling Sector of Pakistan Stock Exchange

Haider

Anjum

Sufyan

et al. 2018

SJMS

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The study examines the macroeconomic variables impact on financial performance, using the financial statement of listed companies in Automobile sector of Pakistan stock exchange. The study covered the period from 2007 to 2016. Before applying the GMM model the preliminary test was done. Firm performance is measured with three ratios i.e., return on assets (ROA), return on equity (ROE) and gross profit margin ratio (GPM). The results revealed that the selected macroeconomics variables have the negative relationship with return on equity, return on assets and gross profit margin and the inflation has positive relation with return on equity and negative relation with return on assets (ROA) and gross profit margin (GPM).

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Section: Literature Reviewsupporting

confidence: 68%

Impact of Macroeconomic Variables on Financial Performance: Evidence of Automobile Assembling Sector of Pakistan Stock Exchange

Haider

Anjum

Sufyan

et al. 2018

SJMS

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“…Tingkat inflasi yang tinggi menunjukkan bahwa risiko investasi cukup besar sebab inflasi yang tinggi akan mengurangi rate of return dari investor. Didukung penelitian dari Iqmal & Putra (2020), Suriyani & Sudiartha (2018), Pervaiz et al (2018), dan Quandir (2012) bahwa kenaikan inflasi dapat menurunkan capital gain yang menyebabkan berkurangnya keuntungan yang diperoleh investor. Maka dapat dirumuskan hipotesis yaitu H1: Inflasi berpengaruh negatif terhadap return saham perusahaan.…”

Section: Pendahuluanunclassified

Pengaruh Inflasi, Suku Bunga, Roa Dan Eps Terhadap Return Saham Perusahaan Sub Sektor Batu Bara

Sukmadewi,

Badjra

2024

EEB

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Investment is an activity to invest directly or indirectly with the aim of obtaining a return. One form of indirect investment that is popular and in great demand by investors today is stocks. The level of return obtained by investors is not fixed and can change at any time. The purpose of this study was to determine the effect of inflation, interest rates, ROA and EPS on stock returns. This research was conducted using the object of research, namely the coal sub-sector mining sector companies listed on the Indonesia Stock Exchange in the 2016-2020 period. This study uses secondary data from the company's financial statements as well as the official website of Bank Indonesia and the Central Statistics Agency (BPS). The analysis technique used is multiple linear regression. The results show that (1) inflation has no effect on stock returns, (2) interest rates have a negative effect on stock returns, (3) ROA has a positive effect on stock returns, and (4) EPS has a positive effect on stock returns.

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“…In their evaluation of stock prices and India's www.jrasb.com financial sector, Bhattacharya and Mukherjee (2001) discovered a negligible association between exchange rates and share market returns. Similarly, Pervaiz et al (2018) found that exchange rates and other macro factors affected Kenya's stock market returns, with the exchange rate demonstrating an unfavorable relationship with the Nairobi Stock Exchange (NSE). Recent research has indicated favorable correlations between the outcomes of the two variables in the short run, attributing this to the usual strategy, while revealing little positive correlation in the long run.…”

Section: Introductionmentioning

confidence: 99%

Impact of Exchange Rates on Returns in Share Market: A Case of Pakistan

Ahmadzai,

Ebrahimi,

Arshad

et al. 2024

J. Res. Appl. Sci. Biotechnol.

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The study focused on appraising the influence of exchange rates on returns in the share market: a case of Pakistan. Time-series data spanning 36 years (1980 to 2016) was utilized. To capture the impact of exchange rates on returns in the share market, a theory-based model consisting of six sub-models was planned and estimated through the recursive simultaneous-equations econometric estimation technique. As the data was time series, augmented Dickey-Fuller (ADF) tests were employed to assess the stationarity of the considered variables. The autoregressive distributed lag (ARDL) model was chosen due to some variables being found at different levels, such as me (0) and I (1). Bounds tests in the conclusion declared that the value of F-statistics expressed long-run associations among variables. The results revealed that share market returns were positively influenced by the exchange rate. The model also indicated that share market returns were significantly influenced by Foreign Portfolio Investment (FPI). Furthermore, National Savings (NS) demonstrated a positive and significant association with share market returns (SMR). The study's outcomes also illustrated that National Income (NI) had a positive and significant influence on SMR. The study encompassed well-expanded details and estimation techniques of various models and measures required in this type of research, especially when utilizing time-series data. Based on research findings, it was suggested that potential researchers reproduce this research to achieve a better and relatively well-conceived, well-estimated model on the topic. Additionally, it was recommended that public and private sector planners and researchers seek guidance not only on statistically significant exogenous variables but also on other explanatory variables for their effects on the endogenous variables.

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Impact of Macroeconomic Variables on Karachi Stock Market Returns

Cited by 8 publications

References 7 publications

Impact of Macroeconomic Variables on Financial Performance: Evidence of Automobile Assembling Sector of Pakistan Stock Exchange

Impact of Macroeconomic Variables on Financial Performance: Evidence of Automobile Assembling Sector of Pakistan Stock Exchange

Pengaruh Inflasi, Suku Bunga, Roa Dan Eps Terhadap Return Saham Perusahaan Sub Sektor Batu Bara

Impact of Exchange Rates on Returns in Share Market: A Case of Pakistan

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