标题：The Effect of Exchange and Dow Jones Industrial Average (DJIA) on the Jakarta Composite Index (JCI) when the Downtrend Happened Due to the Covid-19 Pandemic
出版社：The International Institute for Science, Technology and Education (IISTE)
摘要：This study analyzes the effect of the Exchange Rate and the Dow Jones Industrial Average on the Jakarta Composite Index during a downtrend due to the COVID-19 pandemic. The impulse response function was used to analyze the permanent effects on an exogenous shock variable on one of them. The study results prove a significant effect of the exchange rate on the Jakarta Composite Index. The same result showed that the most the weakening of the exchange rate of the Rupiah, the Jakarta Composite Index tends to fall. Besides, the Dow Jones Industrial Average harms the Jakarta Composite Index. In the long run, the response given by the Jakarta Composite Index showed a negative level. The USD/IDR exchange rate weakening was very influential on the Jakarta Composite Index. Otherwise, the weakening of the Rupiah exchange rate has led to the decrease of the Jakarta Composite Index. Monetary authorities should reckon on the stock price movements to control the stability of monetary exchange..
关键词：Jakarta Composite Index;Dow Jones Industrial Average;exchange rate;COVID-19;monetary policies
