THE IMPACT OF MACROECONOMIC FACTORS ON THE STOCK PRICES OF CHINA'S SSE INDEX During 2018-2023

Abstract

Stock price is not only influenced by their intrinsic value but is also closely related to macroeconomic factors. However, due to the relative independence of the stock market, stock market fluctuations have their unique patterns, so there may be inconsistencies between stock market fluctuations and economic fluctuations. With the gradual improvement of China's stock market, it is necessary to discuss stock market volatility and macroeconomic factors to find a more realistic relationship between them. This study uses a multiple linear repetition method to study the stock price data related to the China Shanghai Stock Exchange Composite(SSE) Index from 2018 to 2023. The data were processed using SPSS version 26. The results show that money supply has a significant positive effect on China SSE stock price, exchange rate has a significant negative effect on China SSE stock price, and GDP, interest rate, and inflation have no significant effect on China SSE.