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Following the craze of economy, it is necessary to investors to comprehend that strong overall economy creates strong currency markets. To elaborate further, as share prices are elevated by potential and current objectives of earnings, thus with out a strong economy it will be difficult for the firms to improve and sustain their revenue (Kong 2013). The economy development is normally calculated using the gross domestic product of a countries. However, a change may be the stock price could cause a significant impact to the customers and investors straight also. Hence, a loss in confidence by investors could cause a downturn in consumer spending in the long run, that will also affect the economy’s output (Aysen 2011). The graph below displays the relationship of currency markets cost (KLCI) and the GDP of Malaysia in '09 2009. Thus, it could be concluded that the overall economy and the currency markets includes a positive relationship. Graph 1. GDP against KLCI in '09 2009 (DAH IKHWAN weblog 2008) For an organisation to go up fund, they usually have a tendency to look at the currency markets and capital market to accomplish it so. That is two markets are often seemed similar by the investors because they both plays a part in the development of an economy. But there are factor between them. The administrative centre market is market that consist of currency markets and also the bond market. As a total result, the capital market offers a long-standing finance using your debt capital and the collateral capital. Capital markets split into two sectors referred to as primary marketplaces and secondary markets. The principal market is usually where securities are released for the very first time whereas the secondary marketplace is where securities which have recently been issued are exchanged among traders (Difference...