An Empirical Analysis between Macroeconomic Variables and Gold Prices
Vu Thi Lan1, Gao Lei Fu2, Sobia Naseem3, Muhammad Mohsin4

1Vu Thi Lan, Department of Optimization and Decision Making, Liaoning Technical University, China.
2Gao Lei Fu, Department of Optimization and Decision Making, Liaoning Technical University, China.
3Sobia Naseem, Department of Optimization and Decision Making, Liaoning Technical University, China.
4Muhammad Mohsin, College of Business Administration, Liaoning Technical University, China.
Manuscript received on 02 June 2019 | Revised Manuscript received on 27 June 2019 | Manuscript Published on 04 July 2019 | PP: 5-9 | Volume-8 Issue-1S4 June 2019 | Retrieval Number: A10020681S419/2019©BEIESP
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© The Authors. Blue Eyes Intelligence Engineering and Sciences Publication (BEIESP). This is an open access article under the CC-BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/)

Abstract: This study based on the relationship between a specific set of macroeconomic variables (stock market, crude oil & exchange rate) and gold prices. This study contains 18 years secondary data (annually) from 2001 to 2018. Regression equation implemented to check the relationship of the gold price return with particular set of macroeconomic variables and correlation matrix, Breusch-Godfrey serial correlation and heteroskedasticity test utilize to check the accuracy as well as normality of series data. This research concluded that gold price return with crude oil prices positively as well as with KSE-100 index negatively significant at 1% & 10% level respectively. The gold prices and exchange rate negative but insignificantly related to each other. This study will important and valuable for policy makers, investors and researchers.
Keywords: Gold Prices, Crude Oil, Stock Returns and Exchange Rate.
Scope of the Article: Social Sciences