Reconciling Macroeconomic Determinants with Stock Market Performance in Selected Sub-Saharan African Countries: an ARDL Approach-Reference-Cited by-同舟云学术

Reconciling Macroeconomic Determinants with Stock Market Performance in Selected Sub-Saharan African Countries: an ARDL Approach

Published:2020-08-30 Issue:13 Volume:1/2020 Page:23-39
ISSN:2353-6845
Container-title:Journal of Banking and Financial Economics
language:
Short-container-title:JBFE

Author:

Arikewuyo Kareem Abidemi^ORCID, ,Adeyemi Akeem Adekunle^ORCID,Omodara Eunice Titilayo^ORCID,Yunusa Lateef Adewale^ORCID, , ,

Abstract

Prior studies have adduced unstable macroeconomic factors to stock price movement overtime but the relationship between the duo remained unsettled. Autoregressive Distributed Lag (ARDL) technique was used to reconcile the macroeconomic determinants with performance of stock markets in selected Sub-Saharan Africa (SSA) covering the period of 1999:1–2017:4. It was found that macroeconomic indicators were essential in determining stock market performance in Nigeria while South African stock market did not show any predictable linkage but the contemporaneous effect of oil price changes on stock market performance in selected SSA. The study, therefore, recommended that countries in SSA should reduce overdependence on oil to minimize external influence in order to promote stability of the stock markets.

Publisher

University of Warsaw

Subject

General Earth and Planetary Sciences

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