Inter-relationship between performance of Bursa Malaysia and foreign stock markets / T. Chantrathevi P. Thuraisingam, Tew You Hoo and Dalila Daud
This paper explores the general perception that the Malaysian stock market is influenced by leading overseas stock markets. Employing correlation analysis comparison was made between the performance ofBiirsa Malaysia's Composite Index and six stock market indices namely Straits Times Index, Ha...
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| Format: | Article |
| Language: | English |
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Institute of Research, Development and Commercialization (IRDC)
2006
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| Online Access: | https://ir.uitm.edu.my/id/eprint/12976/ |
| _version_ | 1848803212411273216 |
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| author | P. Thuraisingam, T. Chantrathevi Tew, You Hoo Daud, Dalila |
| author_facet | P. Thuraisingam, T. Chantrathevi Tew, You Hoo Daud, Dalila |
| author_sort | P. Thuraisingam, T. Chantrathevi |
| building | UiTM Institutional Repository |
| collection | Online Access |
| description | This paper explores the general perception that the Malaysian stock market is influenced by leading overseas stock markets. Employing correlation analysis comparison was made between the performance ofBiirsa Malaysia's
Composite Index and six stock market indices namely Straits Times Index, Hang Seng Index, Nikkei 225 Stock Average, Australia All Ordinaries Index, Dow Jones Industrial Average Index and Financial Times 100 Index. This study also seeks to determine ifthere is any significant stability ofcorrelations over time. These indices were studied over a period offifteen years from I January 1990 to 31 December 2004, beginning with the cessation oftrading
ofMalaysian shares on the Singapore stock exchange, which is synonymous with the pre-Asian financial crisis period, the crisis period and a post crisis period of almost five years. The study found that the, daily returns of the
Composite Index over the period is positively co-related with the foreign indices indicating that the markets were moving in the same direction, in other words there is interdependency between the stock markets. However, the low to moderate correlation refutes the belief that the Malaysian stock market is influenced by the performance ofthe major stock markets. The study also found that generally the correlations are unstable over lime. |
| first_indexed | 2025-11-14T21:35:39Z |
| format | Article |
| id | uitm-12976 |
| institution | Universiti Teknologi MARA |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-14T21:35:39Z |
| publishDate | 2006 |
| publisher | Institute of Research, Development and Commercialization (IRDC) |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | uitm-129762022-12-19T03:21:17Z https://ir.uitm.edu.my/id/eprint/12976/ Inter-relationship between performance of Bursa Malaysia and foreign stock markets / T. Chantrathevi P. Thuraisingam, Tew You Hoo and Dalila Daud smrj P. Thuraisingam, T. Chantrathevi Tew, You Hoo Daud, Dalila Malaysia Malaysia This paper explores the general perception that the Malaysian stock market is influenced by leading overseas stock markets. Employing correlation analysis comparison was made between the performance ofBiirsa Malaysia's Composite Index and six stock market indices namely Straits Times Index, Hang Seng Index, Nikkei 225 Stock Average, Australia All Ordinaries Index, Dow Jones Industrial Average Index and Financial Times 100 Index. This study also seeks to determine ifthere is any significant stability ofcorrelations over time. These indices were studied over a period offifteen years from I January 1990 to 31 December 2004, beginning with the cessation oftrading ofMalaysian shares on the Singapore stock exchange, which is synonymous with the pre-Asian financial crisis period, the crisis period and a post crisis period of almost five years. The study found that the, daily returns of the Composite Index over the period is positively co-related with the foreign indices indicating that the markets were moving in the same direction, in other words there is interdependency between the stock markets. However, the low to moderate correlation refutes the belief that the Malaysian stock market is influenced by the performance ofthe major stock markets. The study also found that generally the correlations are unstable over lime. Institute of Research, Development and Commercialization (IRDC) 2006 Article PeerReviewed text en https://ir.uitm.edu.my/id/eprint/12976/2/12976.pdf P. Thuraisingam, T. Chantrathevi and Tew, You Hoo and Daud, Dalila (2006) Inter-relationship between performance of Bursa Malaysia and foreign stock markets / T. Chantrathevi P. Thuraisingam, Tew You Hoo and Dalila Daud. (2006) Social and Management Research Journal (SMRJ) <https://ir.uitm.edu.my/view/publication/Social_and_Management_Research_Journal_=28SMRJ=29.html>, 3 (1). pp. 113-122. ISSN 1675-7017 https://smrj.uitm.edu.my/ |
| spellingShingle | Malaysia Malaysia P. Thuraisingam, T. Chantrathevi Tew, You Hoo Daud, Dalila Inter-relationship between performance of Bursa Malaysia and foreign stock markets / T. Chantrathevi P. Thuraisingam, Tew You Hoo and Dalila Daud |
| title | Inter-relationship between performance of Bursa Malaysia and foreign stock markets / T. Chantrathevi P. Thuraisingam, Tew You Hoo and Dalila Daud |
| title_full | Inter-relationship between performance of Bursa Malaysia and foreign stock markets / T. Chantrathevi P. Thuraisingam, Tew You Hoo and Dalila Daud |
| title_fullStr | Inter-relationship between performance of Bursa Malaysia and foreign stock markets / T. Chantrathevi P. Thuraisingam, Tew You Hoo and Dalila Daud |
| title_full_unstemmed | Inter-relationship between performance of Bursa Malaysia and foreign stock markets / T. Chantrathevi P. Thuraisingam, Tew You Hoo and Dalila Daud |
| title_short | Inter-relationship between performance of Bursa Malaysia and foreign stock markets / T. Chantrathevi P. Thuraisingam, Tew You Hoo and Dalila Daud |
| title_sort | inter-relationship between performance of bursa malaysia and foreign stock markets / t. chantrathevi p. thuraisingam, tew you hoo and dalila daud |
| topic | Malaysia Malaysia |
| url | https://ir.uitm.edu.my/id/eprint/12976/ https://ir.uitm.edu.my/id/eprint/12976/ |