Economic Factors Affecting Stock Market Index in Malaysia

ECONOMIC FACTORS AFFECTING STOCK MARKET INDEX

IN MALAYSIA

CHUA JI CONG

CHIEW WEI KIT

BACHELOR OF FINANCIAL ECONOMICS (Hons)

FACULTY OF BUSINESS AND INFORMATION SCIENCE

UCSI UNIVERSITY

DECEMBER, 2015

A project completed as part of the requirements for the

BACHELOR OF FINANCIAL ECONOMICS (Hons)

ECONOMIC FACTORS AFFECTING STOCK MARKET INDEX

IN MALAYSIA

by

CHUA JI CONG

(1001334582)

CHIEW WEI KIT

(1001334773)

DECEMBER, 2015

TABLE OF CONTENTS

TABLE OF CONTENTS..................................................................................................... i

LIST OF TABLES AND FIGURES ................................................................................. iii

CHAPTER 1: INTRODUCTION...................................................................................... 1

1.1 Brief Introduction............................................................................................................ 1

1.2 Problem Statement........................................................................................................... 4

1.3 Research Questions…...................................................................................................... 5

1.4 Research Objectives........................................................................................................ 6

1.5 Hypotheses....................................................................................................................... 6

1.6 Significance of Study ...................................................................................................... 7

CHAPTER 2: LITERATURE REVIEW.......................................................................... 9

2.1Interest Rate...................................................................................................................... 10

2.2 Inflation...