Effect of Macro Econo-mic Variables on Stock Market Returns- Bangladesh Context

Abstract

This study explores the relationship among macroeconomic variables and stock market returns in case of Dhaka Stock Market. Macro-economic variables (money supply, intetest rate' exchange rate, GDP growth rcfie and inJtation) have taken as independent variable cnd Stock Market return as dependent variable. The study period was 2001 to 2010. A simple regression analysis is pedormed to reach the conclusion. The study found that there i.g no relation betv'een macro-economic variables and Stock Market return. It implies that Stock Market returu is not sensitive to changes in the macroeconomic variables.