An Empirical Study on Impact of Gold Price on the Movement of Indian Stock Market– with Special Reference to BSE500 and NSE500

Abstract

The gift investigation has been embraced to anlayse the effect of gold price on the development of Indian economic alternate. At this motive gold price and statistics of BSE500 and NSE500 are taken as elements. Information for the above factors are gathered for a time of 16 years from 2002 to 2018 on normal agenda with all out amount of perceptions of 3740. The examination applied tremendous insights, connection, relapse research, ADF unit root check, Johansen co-coordination test and Granger causality test for examination. The examination located that gold charge and the development of Indian financial exchange have huge splendid dating and vital and low outstanding impact on improvement of Indian securities trade, for the reason that numerous elements are accountable for the improvement of financial change, gold rate is one in each of them. Gold price, BSE500 and NSE500 had unit root in the course of the research time body. The examination did not discover any co-becoming a member of connection between gold price and Indian securities alternate within the course of the research time frame. It is likewise confirm that gold charge did not have granger motive on Indian securities trade as a long manner as BSE 500 and NSE 500 and Indian economic alternate moreover did not have granger reason on gold value for the duration of the exam time body. It is inferred that modifications in gold fee have noteworthy effect on market it development in India, however that impact isn't distinguished.