ARTICLE

IMPACT OF MACROECONOMIC FACTORS ON STOCK RETURNS VOLATILITY OF COMMERCIAL BANKS IN PAKISTAN

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04 Pages : 31 - 40

http://dx.doi.org/10.31703/ger.2021(VI-III).04      10.31703/ger.2021(VI-III).04      Published : Sep 2021

Impact of Macroeconomic Factors on Stock Returns Volatility of Commercial Banks in Pakistan

Abstract

    This study aims to determine the impact of macroeconomic variables on the stock return volatility of commercial banks in Pakistan. The macroeconomic variables used in this study are Interest rate, Exchange rate,Inflation rate, Balance of payment, and level of unemployment.Convenience sampling is used for this study. Panel data was invited for use in this study for analysis for the time period stated from 2007-to 2017. Data was collected from the data stream. Ont he basis of some econometric tests, a fixed-effect model was used.It was found that interest rate, exchange rate, and balance of payment have a positive while the inflation rate has a negative impact on stock return volatility of commercial banks in Pakistan.But unemployment has no significant impact thereon. This result is totally significant (P

    Microeconomics, Stock Return Volatility, Inflation Rate, Commercial Banks

    (1) Niaz Muhammad
    Abdul Wali Khan University Mardan, KP, Pakistan
    (2) Wisal Ahmad
    Assistant Professor, Abdul Wali Khan University, Mardan, KP, Pakistan
    (3) Yousaf Khan
    National University of Modern Languages, Islamabad, Pakistan
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Cite this article

APA

    APA : Muhammad, N., Ahmad, W., & Khan, Y. (2021). Impact of Macroeconomic Factors on Stock Returns Volatility of Commercial Banks in Pakistan. Global Economics Review, VI(III), 31 - 40. https://doi.org/10.31703/ger.2021(VI-III).04

CHICAGO

    CHICAGO : Muhammad, Niaz, Wisal Ahmad, and Yousaf Khan. 2021. "Impact of Macroeconomic Factors on Stock Returns Volatility of Commercial Banks in Pakistan." Global Economics Review, VI (III): 31 - 40 doi: 10.31703/ger.2021(VI-III).04

HARVARD

    HARVARD : MUHAMMAD, N., AHMAD, W. & KHAN, Y. 2021. Impact of Macroeconomic Factors on Stock Returns Volatility of Commercial Banks in Pakistan. Global Economics Review, VI, 31 - 40.

MHRA

    MHRA : Muhammad, Niaz, Wisal Ahmad, and Yousaf Khan. 2021. "Impact of Macroeconomic Factors on Stock Returns Volatility of Commercial Banks in Pakistan." Global Economics Review, VI: 31 - 40

MLA

    MLA : Muhammad, Niaz, Wisal Ahmad, and Yousaf Khan. "Impact of Macroeconomic Factors on Stock Returns Volatility of Commercial Banks in Pakistan." Global Economics Review, VI.III (2021): 31 - 40 Print.

OXFORD

    OXFORD : Muhammad, Niaz, Ahmad, Wisal, and Khan, Yousaf (2021), "Impact of Macroeconomic Factors on Stock Returns Volatility of Commercial Banks in Pakistan", Global Economics Review, VI (III), 31 - 40

TURABIAN

    TURABIAN : Muhammad, Niaz, Wisal Ahmad, and Yousaf Khan. "Impact of Macroeconomic Factors on Stock Returns Volatility of Commercial Banks in Pakistan." Global Economics Review VI, no. III (2021): 31 - 40. https://doi.org/10.31703/ger.2021(VI-III).04