• Anjali Rai

This study delves into the complex relationship between macroeconomic factors and stock prices, employing graph plotting and correlation analysis as primary methodologies. By addressing the limitations inherent in previous other researches and incorporating future research areas, the study aims to provide a more comprehensive understanding of how macroeconomic variables interact and influence stock prices. Through time series analysis, the study explores the dynamics of various macroeconomic indicators, including GDP growth, inflation rates, interest rates, and exchange rates, in relation to stock price movements. While correlation analysis reveals significant associations between certain macroeconomic factors and stock prices, caution is exercised in attributing causality. The study underscores the need for nuanced interpretations and further research to establish causal relationships. The findings highlight the potential implications of this research for investors, businesses, and policymakers. Investors can leverage insights from the study to make more informed investment decisions, considering not only traditional factors but also macroeconomic variables. Businesses can develop strategies that are more resilient to economic fluctuations, while policymakers can design policies that promote economic growth and market stability. Ultimately, the study emphasizes the importance of ongoing research in this area to foster a more informed and adaptable financial ecosystem, benefiting stakeholders across the financial spectrum and contributing to overall economic stability.

Macroeconomic factors, Correlation analysis, investment decisions, Stock prices, Economic stability.

"A Study on Understanding the effect of Macro economics on Stock Market", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.11, Issue 4, page no.e263-e271, April-2024, Available :http://www.jetir.org/papers/JETIR2404431.pdf

"A Study on Understanding the effect of Macro economics on Stock Market", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.11, Issue 4, page no. ppe263-e271, April-2024, Available at : http://www.jetir.org/papers/JETIR2404431.pdf