The impact of some macroeconomic variables on the general index of stock prices in the Casablanca Stock Exchange

Abstract

This study aims to diagnose the impact of macroeconomic variables represented in the interest rate, the exchange rate of the Moroccan dirham against the US dollar, and the monetary presentation in its broad sense on the general stock price index on the Casablanca Stock Exchange. To reach this endeavor, we analyzed a monthly database of study variables during the period from 2008 to 2018 using the autoregressive destributed lag model (ARDL). The analysis showed that there is no long-term equilibrium relationship between the studied variables, and this result is incompatible with the findings of the theoretical side of the study due to the negative performance of the Moroccan Casablanca index and the low volume of trading during the study period, and the lack of integration between the Casablanca Stock Exchange and the banking sector in financing the economy.