• Brahmananda Sahoo
• Dr. Rasmita Sahoo

Abstract The key intention of this study is to look into the significant link between the variables of macroeconomics and the performances of Bombay stock exchange Indices. The study is based on the data collected monthly for a period of more than five years i.e. from April 2015 to Jun 2020. Foreign Institutional Investment, Foreign Direct Investment, Liquidity Aggregates, Foreign Exchange reserve, Gross Fiscal Deficit etc. are used along with the indices from Bombay stock exchange (S&P BSE Energy, S&P BSE Basic Metals, S&P BSE First Moving Consumer Goods, S&P BSE Consumer Durables, S&P BSE Industrials, S&P BSE Finance, S&P BSE Utilities, S&P BSE Infrastructure, S&P BSE Manufacturing, and S&P BSE Healthcare). The Ordinary Least Square Method, Augmented Dickey Fuller Test, Vector Auto Regression Model, Granger causality Test, etc. are applied to elaborate the existence of short-run and long-run effect of macroeconomic variables with the S&P BSE indices in India. Further, the study confirms that there exists the substantial relationship between the variables but relationship varies from the situation of the economy and the demand condition of the market. The Ganger causality test also confirmed the existence of causality between the indicators of macroeconomics and the stock indices of Indian stock market.

Stock Indices, SEBI, National stock Exchange, Bombay stock exchange.

"The Impact of macro-economic indicators on selected BSE sectoral indices: An empirical analysis of India.", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.9, Issue 4, page no.c657-c677, April-2022, Available :http://www.jetir.org/papers/JETIR2204292.pdf

"The Impact of macro-economic indicators on selected BSE sectoral indices: An empirical analysis of India.", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.9, Issue 4, page no. ppc657-c677, April-2022, Available at : http://www.jetir.org/papers/JETIR2204292.pdf