A Study Of Interdependency Of Some Stock Market Indicators On Market Capitalization In The Nigerian Stock Exchange.

Abstract

Data on growth in new issues and stock index performance were examined to ascertain their contribution to the growth of market capitalization (dependent variable) between 1996 and 2005. The computation was done with the aid of Statistical Package for social Sciences (SPSS) and the test on the overall regression estimates was significant at 5% (a=0.05). The multiple regression fitted with sampled data showed that stock index contributed higher value than new issues to the growth of market capitalization. Positive and high partial correlation coefficients were also observed betwen the variables but low partial correlation was observed in respect of new issues and stock index.