The impact of price level on CPALL common stock price.

Abstract

Stock market is an essential sector of the economy of any country. It performs as a leading indicator that represents the whole economic movement. It is also served as the indicator of financial performance of company. The stock price of CPALL is one of commerce stock that investor very interested in, with high growth potential and continuous profit growth. This research represented an explores the importance of Consumer price index (CPI) that influence the CPALL stock price. The data that employed in this study cover the period from 2004 to 2019. The sample consists of 64 observations in form of quarterly data based on the availability of the data. The ordinary least squared method is adopted to test the relationship between these two variables. The result of this research indicates that the Consumer price index (CPI) has strong positive influence on CPALL stock price. An increase in the price level, CPALL stock price also go up.