Macroeconomic Determinant Variables in LQ45 Retail and Consumer Goods Securities Performance Index

Abstract

This research purpose is to examine the changes of macroeconomic variables which affects securities performance in retail and consumer goods industry. Investors who wants to get return in the short-run and long-run from this securities should concern the economic circumtances too, beside other systematic risks. Those industry produce consumer goods and gives direct impact to the market. Securities performance proxy by return of securities. Macroeconomics variables proxies by return LQ45 Index, consumer price index (IHK–Indeks Harga Konsumen), inflation rates, Gross Domestic Product (GDP), interest rates (BI Rate), and exchange rates of Indonesian Rupiah to US Dollar. Samples are monthly securities trading LQ45 Index of retail and consumer goods firms from January 2014 to July 2016, also the macroeconomic data from Bank of Indonesia. The data taken was assumed in the period of Joko Widodo’s presidentcy. We use IBM SPSS 20.0 for Windows with the multifactor regressions and, data analysis and correlation using Microsoft Excel 2007.