The relationship between macroeconomic factors and the performance of the stock market in Malaysia: the case of Malaysia utilities sector / Nur Afifah Ezzati Ezuddin Yusman

• Main Author: Ezuddin Yusman, Nur Afifah Ezzati
• Format: Thesis
• Language: English
• Published: 2022
• Subjects: Macroeconomics; Interest rates
• Online Access: https://ir.uitm.edu.my/id/eprint/98250/1/98250.pdf; https://ir.uitm.edu.my/id/eprint/98250/

The research on the factor for stock market performance has been widely documented for years. The objectives of this research are to analyzing the relationship between the macroeconomic factors and the performance of Kuala Lumpur Utilities (KLUT) stock market. This research presents a study of the stock market in Malaysia over the period of 2018-2022. The total that has been observed from this study is 5 years. This research is to indicate real exchange rate, interest rate, inflation and money supply as independent variable while the dependent variable is Kuala Lumpur Utilities (KLUT) stock market. In addition, this research is utilizing descriptive analysis, correlation analysis, multiple linear regression, multicollinearity, and heteroskedasticity test to determine whether the independent variable is significant or insignificant towards Kuala Lumpur Utilities KLUT) stock market. Based on the results, three out of four variables were found to be significant. The inflation Rate (CPI), the Interest Rate (INT), and the Money Supply (MS) were either substantially negative or positive in comparison to the performance of the Kuala Lumpur Utilities (KLUT) stock market. The findings can help the investors in the decision on their portfolio investment.