This paper aims to examine the importance of macroeconomic factors to determine the performance in stock market. The regression analysis is used to examine this relationship. The result shows macroeconomic variables can explain stock return significantly after adjusting for lags of data...

One of the main cornerstones of traditional financial theory is the Efficient Market Hypothesis (EMH). However, several violations of EMH have been discovered to the contrary of explanation provided by traditional financial theory. One of the key discoveries was the over-reaction effect of...