Abstract
The effect of Macroeconomics on the stock market or stock exchange is not a newly discovered concept. Many academicians and economists have observed various factors in the macroeconomics theories that affect the prices and indices of stock exchange. Along with academic views, there is a sufficiently well amount of empirical evidence to point out such relations. This paper is divided in three major sections. The first part of the paper talks majorly about some of the variables that have been identified by various authors to affect the stock market in various countries.The second section of the paper is a story of an Indian investor named Paneer. A small investor, this section will discuss the journey of this unaware investor through the stock market and attempt to identify the reasons of the events that happened by analyzing the various macroeconomic variables that were at play.
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