The Impact of Covid 19, Rupiah Exchange Rate, and SBI Interest Rate on IDX

Abstract

This study aims to investigate the effect of Covid 19, Rupiah Exchange Rate, and SBI Interest Rate on Indonesia Stock Exchange (IDX). The data analysis was performed using multiple linear regression. Data collection techniques are carried out by processing data that has been published by Bank Indonesia. The results showed that Covid 19 and SBI Interest Rate did not influence IDX. Meanwhile, Rupiah Exchange Rate positively affected on IDX. This study contributes to understanding the macroeconomic factors that affect on IDX in developing countries such as Indonesia during the financial crisis period caused by the Covid 19 pandemics. Thus, this study as a reference for the Indonesia Government in making policies concerning to IDX problem. This study only revealed three variables as determinants of IDX. The next studies should consider more variables such as inflation, gross domestic product, and the amount of money in circulation. Secondly, the future studies should consider other methods of OLS difference one  model can be used to predict well the IDX.