SpringerPlus

Table 7 The influence of macroeconomic variables and market volatility on the market return during 2013 general election

From: The effect of Malaysia general election on stock market returns

Variable	Day
Variable	15	30	60	90
Constant	0.14*	0.09	0.07	0.01
Constant	1.85	1.15	0.66	0.07
Before (β ₁)	−0.09	0.23	0.01	0.01
Before (β ₁)	−0.49	1.35	0.05	0.05
After (β ₂)	0.26	0.23*	0.25*	0.36**
After (β ₂)	1.41	1.71	1.97	2.16
US stock market return	0.05	0.05	0.05	0.05
US stock market return	0.88	0.88	0.81	0.86
Inflation rate	−0.02	−0.01	−0.03	−0.03*
Inflation rate	−1.02	−0.46	−1.30	−1.68
Interest rate	0.03	0.03	0.05*	0.07**
Interest rate	0.98	1.30	1.71	2.36
Unemployment rate	0.02	0.03	0.02	0.02
Unemployment rate	0.50	0.69	0.41	0.55
Exchange rate	0.03	0.03	0.03	0.03
Exchange rate	0.67	0.70	0.65	0.66
Gross domestic product	−0.02	−0.01	−0.02	−0.03
Gross domestic product	−0.65	−0.04	−0.61	−1.00
Market volatility	−17.53**	−19.79**	−15.72**	−18.45**
Market volatility	−2.29	−2.54	−2.04	−2.42

Before and after are dummy variable to capture the impact of election effect on stock market return. The t-statistics are given in italic below the respective estimated coefficients
* and ** Significant at 10 and 5% significance level respectively. The significance of the estimated β ₁ and β ₂ implies there is before-election-effect and after-election-effect respectively

Back to article page