
doi: 10.2139/ssrn.6323078
This research paper analyzes how several macroeconomic indicators, representing major segments of the economy, affect the stock performance of three largecap technology firms: Microsoft, Apple, and Amazon. These companies, purposefully chosen for this study, are highly liquid yet have some of the largest market caps because their monthly earnings correlate with prominent indicators of GDP, inflation, employment, housing, and trade balances. Using publicly available data sources from government departments and international institutions is what makes this study's claims, real-time economic fluctuations, and facts verifiable and credible. This study uses a quantitative framework to analyze, in depth, the correlation between macroeconomic indicators and stock performance during the 2022-2023 post-pandemic time period. Key findings in this study demonstrate trends and patterns in GDP growth, inflation, and employment. Since measurements such as the CPI and PPI fluctuate, macroeconomic indicators are closely associated with stock movements. It is extremely important to all traders and investors around the world, from small family households to the largest firms, to place a high emphasis on analyzing macroeconomic dynamics and evaluating equity performance. The analysis of these essential indicators is very insightful and decisive for investors and traders who use a framework to interpret what economic indicators mean and which strategies can be used to price action on those indicators in tech-driven markets.
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