Macroeconomic Aggregates and Stock Prices in Nigeria

The study examines the impact of macroeconomic aggregates on stock price in Nigeria. The study employs secondary data extracted from the Central Bank of Nigerian (CBN) Statistical Bulletin of 2023 and the international financial statistics (IFS). The methods of data analyses include the ordinary least squares multiple regression and the error correction mechanism on a time series data covering the period of thirty years (1994-2023). The findings of the study are that, the current level of money supply (DM2) has a positive and insignificant impact on All Share Index (ASI) in the short-run while the money supply (M2) in the long run has a negative relationship and a statistically significant impact on All Share Index (ASI), the current level of Interest Rate (DINTR) has a negative and insignificant impact on All Share Index (ASI) in the short run while interest rate (INTR) has negative relationship with the all share index (ASI) and not statistically significant, the current year of inflation rate (DINFR) has a negative and a statistically significant impact on All Share Index (ASI) in the short run while inflation rate (INFR) has a negative and a statistically significant impact on All Share Index (ASI), and the current level of consumer confidence index (DCCI) has a negative and statistically significant impact on All Share Index (ASI) in the short-run while consumer confidence index has a positive and statistically significant impact on All Share Index (ASI). A major recommendation of the study is that Government should reduce its participation in direct importation so as to enhance stock market indices in the Nigerian capital market.