Open AccessANALYSIS OF FACTORS AFFECTING THE INDONESIAN SYARIAH STOCK INDEX (ISSI) ON THE INDONESIAN STOCK EXCHANGE (IDX)
Author(s) -
Siska Angriani Hasibuan,
Armin Rahmansyah
Publication year - 2020
Publication title -
quantitative economics journal
Language(s) - English
Resource type - Journals
eISSN - 2089-7995
pISSN - 2089-7847
DOI - 10.24114/qej.v8i2.19932
Subject(s) - indonesian , stock exchange , stock (firearms) , stock market index , exchange rate , econometrics , index (typography) , variables , stock market , business , economics , monetary economics , financial economics , statistics , mathematics , finance , computer science , geography , linguistics , philosophy , context (archaeology) , archaeology , world wide web
The Indonesian Syariah Stock Index (ISSI) is an indicator that can be used by investors to know the movements of the sharia stock market. This research aims to analyze the effect of the Indonesian Syariah Stock Index (ISSI) on the Indonesian Stock Exchange (IDX). The analysis uses equations by the method of Error Correction Model (ECM). This study analyzed the relationship between the dependent and independent variables in both the short term and long term. Estimation results show that in the long term and the short term, the variable amount of the inflation was a positif and significant in the short term but not significant in the long term affect the Indonesian Syariah Stock Index (ISSI). The variable amount of the BI rate and exchange rate was a negative and significant in the short term but not significant in the long term affect the Indonesian Syariah Stock Index (ISSI). These results show that inflation, BI rate and exchange rate was significant in the short term affect the Indonesian Syariah Stock Index (ISSI) on the Indonesian Stock Exchange (IDX).