BEING EVALUATED THE RELATIONSHIP BETWEEN STOCK EXCHANGE INDEXES AND MACROECONOMIC VARIABLES FROM THE POINT OF DEVELOPED AND DEVELOPING COUNTRIES

Abstract

Inthisstudy, the relationship between 11-year-old stock exchange indexes and macroeconomic variables has been analysed. ABD, Germany, England, France and Italy for the group of developed countries; Turkey, India, Brazil, Russia and Mexico for the group of developing countries have been taken into account. For both of the country groups, the relationships between dependent variable and macroeconomic variables which are thought to direct the stockex change index, unemployment rate, inflationgrowth, exchange rate, interest rate have been determined with the helping of panel regression analysis. Inthe analysis, yearly data have been used. Indicators being included in the study as macroeconomic variables are indicators thought to cause the change of the stock exchange index. Thestudy has aimed to analyse from the point of the relationship between developed economies and developing countries. It has been determined that independent variables taken into consideration for developed countriesare 72,5 per-cent explanatory. All the variables except inflationand exchange rate have been required significant as statistical. It’s been determined that independent variables taken into account in the developing countries are 76,1 percent explanatory on the stock Exchange index. All the independent variables have been required significant as statistical.