The impact of ASEAN stock market on the Philippine stock market

• Main Authors: Bucad, Cinderella D., Cruz, Pauline Ann S., Hoang, Dung Kim, Wu, Shedrick R.
• Format: text
• Language: English
• Published: Animo Repository 2017
• Subjects: Stock exchanges > Southeast Asia; Finance and Financial Management
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/9027
• Institution: De La Salle University

The stock market plays a crucial role in every nation's economy. Globally, stock markets have been experiencing a hike in activities and increasingly gaining importance. As a response to global integration, the changes in the local stock market might be influenced by the fluctuations in other markets. Therefore, the study is conducted to evaluate the relationship between the Phlippine stock market and other stock markets within the same region. The countries to be mentioned in the paper belong to the Association of Southeast Asian Nations (ASEAN). Aside from the Philippine Stock Exchange (PSE), the paper covers Stock Exchange of Thailand (SET), Singapore Exchange (SGX), Kuala Lumpur Stock Exchange (FBM KLCI) and Indonesia Stock Exchange (IDX). To address the question of the paper, the researchers used vector auto-agression, the granger causality test, and augmented Dickey Fuller test. When comparing the empirical results obtained using these standard techniques and modified methodology, substantially different results were out. It implies that only the changes in Singapore Exchange (SGX) have significant effect on Philippine Stock Exchange (PSE)