Influence of Selected Macroeconomic Variables on the Stock Market Index and Volatility Due to Global Financial Crisis an Evidence from Brics and Developed Countries

Abstract

Stock market reflect the economic and financial position of a nation. This newlineresearch investigates the nature of relationship between the macroeconomic factors newlinewith stock market index and to examine the volatility of the stock market based on newlineGlobal Financial Crisis. Developing economies Brazil, Russia, India, China and newlineSouth Africa and developed countries namely Australia, Canada, Japan, UK and US newlineare selected for the research. Macroeconomic variables chosen for the research newlineincludes inflation, Gross Domestic Product (GDP), interest rates, money supply, newlineexchange rates, gold prices and crude oil prices for the period from January 2002 to newlineDecember 2018. The study focusses on two aspects of investment namely the newlineexpected return and risk. First part, the expected return can be calculated based on newlinethe influence of macro-economic variables on the stock market index newline