The Impact of Macroeconomic Factors Interest Rates and Exchange Rates Govern on Stok Index of LQ45 Tiar Lina Situngkir(a*), Isro’iyatul Mubarokah (b)
Universitas Singaperbangsa Karawang, Jawa Barat, Indonesia, tiarlina.situngkir[at]fe.unsika.ac.id
Faculty of Economic, Universitas Singaperbangsa Karawang
Abstract
The aims of this reserarch is to investigate the macroeconomic factors, represented by interst rate Bank Indonesia and exchange rate rupiah to US dollar in influencing volatility of LQ45 stock price index on the Jakarta stock exchange. The data is collected from secondary data, the periods are January 2013 to December 2019. The method used is the Error Correction Model. This method will delibarate long-term and short-term analysis of the influence of macro variables affecting the LQ45 Stock Price Index. The results depicted that in the short-term period both interst rate Bank Indonesia and exchange rate rupiah to US dollar had no significant influence on the LQ45 stock price index, then for the long term period both interst rate Bank Indonesia and exchange rate rupiah to US dollar govern on the LQ45 stock price index.
