Econometrics, Regression analysis, Fundamental analysis

AbstractStock markets are a vital part of a countryдЫЄs economy and of businesses in the economy, and economic policy decisions by the government impact stock markets greatly. It is therefore important to know how different stock categories are impacted by economic decisions of the governments and the central banks. While several studies exist that have explained the impact of economic indicators on stock prices for large cap stocks, there are none that differentiate between the combined impact of all the major economic indicators on different stock categories дЫТ large cap and small cap stocks. This difference is important to understand as it impacts not only businesses and investors but also governments in their policy formulation. This paper, therefore, aims to study whether different