Abstract
Due to the impact of macroeconomic variables on different parts of the Iranian capital market, in this article the impact of changes in economic variables, including crude oil prices and average market exchange rate and the inflation rate on the stock price changes for 316 member companies of Tehran Stock Exchange as of and for the period of 5 years from the years 1389 to 1393 is examined. In order to accurately evaluate the effects of declared variables, Augmented Dickey - Fuller test and the VAR model with error correction mechanism is used. According to the results of paper, changes in crude oil prices is a significant positive effect on the stock price changes. And changes in inflation rate and average market exchange rate is a significant negative effect on the stock price changes. based on analysis of variance changes in the average exchange rate was the largest share in the stock price changes and inflation rate is the lowest share in the stock price changes. The findings of this paper provides beneficial implications for investors and policy makers. DOI: 10.5901/mjss.2016.v7n4S2p59
Highlights
The first and most important factor influencing the investment in the Stock Exchange is the stock price index
The results showed that the coefficient of variation of oil prices (0/41) with t-student statistic significant, has a positive and significant effect on the stock price changes on the size of 0/41
The first hypothesis is accepted, it can be said that changes in oil prices has a significant and positive effect on the stock price changes of companies listed on Tehran Stock Exchange during the period April 2010 to March 2015
Summary
The first and most important factor influencing the investment in the Stock Exchange is the stock price index. Awareness of factors affecting stock prices is very important for investors. Many factors are effective on the formation of information and the views of market parties and affect stock price. Some of these factors is domestic and As well as Some of these factors is caused by the macroeconomic variables and the global variables. One of the global variables that can affect on the stock price index is oil prices and macroeconomic variables affecting are the market exchange rate and inflation. World oil prices as a powerful endogenous variables affect a lot of variables including stock prices and that are responsible for international monetary and financial developments
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
