In the main body of the report you are required to
- Report the descriptive statistics (summary statistics) for each variable (stock price, interest rate, and exchange rate).
(15 Marks)
- Plot time series graph for each of the variables (stock price, interest rate, and exchange rate) and provide a summary of the movement of the variables in the period of the study.
(15 Marks)
- Plot scatter graphs of stock price against selected macroeconomic variables (interest rate, and exchange rate), explain the graphs.
(10 Marks)
- Calculate the correlation between stock price and the selected macroeconomic variables and report your findings. Justify your results with the scatter graphs in part c.