MACROECONOMIC IMPACT ON SHARE PRICES: EVIDENCE FROM INDONESIA

Rochman, Arif Syafi'ur (2020) MACROECONOMIC IMPACT ON SHARE PRICES: EVIDENCE FROM INDONESIA. Solid State Technology, 63 (6). pp. 646-660. ISSN https://www.lens.org/016-979-888-707-235

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Abstract

This paper intends to examine the macroeconomic impact of measuring proxies using Exchange Rates, BI_Rate, and Inflation on share prices of banking companies on the Indonesia Stock Exchange. Design / methodology / approach: This paper uses a quantitative approach to the process of obtaining knowledge that requires data in the form of numbers as an instrument to test the hypothesis. Macroeconomic variables use proxies for measuring exchange rates, BI_Rate, inflation and share prices obtained from the company's financial statements and the website of the Indonesia Stock Exchange at www.idx.co.id, www.ojk.go.id, www.bi.go.id and www.yahoofinance.com. Finding The findings show that the exchange rate has a positive impact on the share prices of banking companies on the Indonesia Stock Exchange, so that the findings can be used by investors to carry out fundamental analysis to have relevant information. Meanwhile, BI_Rate, inflation has no impact on stock prices, meaning that BI_Rate and inflation tend not to have a value relevance to the share price of banking companies on the Indonesia Stock Exchange.aPractical implications: The research results are recommended for banking customers to increase the effectiveness and efficiency of banking performance and to contribute to the banking literature.Originality: Previous research was conducted to test macroeconomics on banking stock prices. The findings concluded that macroeconomics had an impact on share prices. The novelty in this paper the researcher includes control variables as variables to strengthen the findings in this study

Item Type:	Article
Subjects:	H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management H Social Sciences > HD Industries. Land use. Labor > HD61 Risk Management
Divisions:	Fakultas Ekonomi > S1 Manajemen
Depositing User:	Arif Syafi'ur Rochman, S.ST, M.MT
Date Deposited:	03 May 2021 02:14
Last Modified:	03 May 2021 02:14
URI:	http://elibs.unigres.ac.id/id/eprint/711

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