Inflation negatively impacts Indonesia's stock market, oil prices drive growth.
The study looked at how factors like inflation, exchange rate, oil price, Dow Jones Index, and The Fed Rate affect Indonesia's stock market. They used a method called Vector Error Correction Model. Inflation had a negative impact on stock prices, while exchange rate and oil price had a positive impact. However, Dow Jones Index and The Fed Rate had a negative effect on stock prices. These findings can help investors and policymakers make decisions.