THE INFLUENCE OF WORLD OIL PRICES, WORLD GOLD PRICES, INFLATION, EXCHANGE RATES AND INTEREST RATES ON THE COMPOSITE STOCK PRICE INDEX FOR THE PERIOD 2014-2023.

Abstract

The research attempts to ascertain the partial or simultaneous effects of inflation, interest rates, exchange rates, global oil and gold prices, and inflation on the composite stock price index.  IBM SPSS software version 27 was utilized in this study's data analysis procedure.  Non-purposive sampling is one of the sample approaches used in this research to gather secondary data, namely information on global oil and gold prices, inflation, interest rates, and currency rates.  The findings demonstrated that: 1) the composite stock price index is positively and significantly impacted by global oil prices.  2) The composite stock price index is negatively and negligibly impacted by global gold prices.  3) The composite stock price index is negatively and negligibly impacted by inflation.  4) The composite stock price index is positively and significantly impacted by the exchange rate.  5) The composite stock price index is negatively and negligibly impacted by interest rates.  6) Global gold and oil prices, inflation, interest rates, and currency rates.  have a substantial and favorable impact on the composite stock price index at the same time.  This indicates that the independent variables of world oil and gold prices, inflation, exchange rates, and interest rates account for 59.4% of the variation in the composite stock price index dependent variable, with other factors not included in this study accounting for the remaining 40.6%.