Download or read book IMPACT OF INFLATION ON EQUITY STOCK RETURNS - AN EMPIRICAL STUDY OF SELECT INDIAN BLUE CHIP COMPANIES written by Evuru Poleraiah and published by Epoleraiah Books. This book was released on 2022-11-18 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Inflation is a state of economic condition in which there will be an increase in the general level of prices for goods and services. This book is about a study that attempts to give in-depth understanding of all aspects of inflation such as measurement of inflation, various prevailing hypothesis, relation between inflation & stock markets, causes and effects of inflation economics. It details causes, reasons & lessons from inflation and deals about the cost of inflation. The topics of CPI, other causes of inflation, fiscal deficits, effects of inflation and various types of inflation are described. Literature review is presented. Following aspects of study are made available. (1) Evaluation of the stock price movements and performance of BSE 30 stocks, (2) Examining the relationship between Inflation and stock returns of sample stocks, (3) Scrutinizing the relation between inflation and sample industries, (4) Understanding the impact of inflation on individual company performance and (5) Investigating causes for inflation and effect on stocks Research methodology is outlined and conceptual and statistical tools applied for analysis are detailed. Data Analysis of Stock Price Performance and Impact of Inflation on Industries are covered. The book covers the study aimed to understand and measure the impact of inflation on individual stock returns and industries. Based on the prior research it is assumed that inflation have negative impact on stock returns and stock markets. Earlier studies reported mixed results. Very few studies reported that inflation will have negative impact on stock returns. At the same time there are studies which argue that inflation will have positive impact on stock returns. On the other hand there are studies which do not find any statistically significant association between inflation and stock returns.