Page 331 - IMDR JOURNAL 2023-24

IMDR’s Journal of Management Development & Research 2023-24

Exploring the Relationship between Nasdaq and Nifty Indices over Eleven Years (2013-
2023)

Dipak Dake*, Gauri Jambhulkar**, Ankit Kalore*** and Shaunak Mainkar****

* Student, PGDM , IMDR, Pune, Maharashtra, India (E-mail: dbdake1@gmail.com)

**Student, PGDM, IMDR, Pune, Maharashtra, India (E-mail: ddake911@gmail.com)
***Student, PGDM, IMDR, Pune, Maharashtra, India (E-mail: ankit.kalore25@gmail.com)

****Teaching Faculty, PGDM, IMDR, Pune, Maharashtra, India (E-mail:

shaunak.mainkar@imdr.edu)

Abstract
This paper investigates the long-term relationship between the Nasdaq index and the Nifty

index within the Indian context over eleven years. Utilizing historical price data, we

calculated the mean, mode, median, standard deviation, variance, corelation, regression and
many more of their percentage changes for each year and analyse their relation. Employing

statistical analysis techniques, we assess the degree of correlation between the indices and
examine trends, volatility, and any significant events that may have influenced their

movements during the timeframe. The findings offer valuable insights into the long-term
dynamics between these major stock market indices, aiding investors and policymakers in

decision-making processes.

Keywords: Nasdaq index; Nifty index; Short-term relationship; Correlation analysis;

Statistical techniques.

Introduction:

In today's interconnected global economy, understanding the relationship between major
stock market indices is crucial for investors and policymakers alike. One such relationship of

significant interest is the correlation between the Nasdaq index and the Nifty index within the

Indian context. The Nasdaq index, representing predominantly technology and growth-
oriented companies in the United States, and the Nifty index, comprising top performing

companies listed on the National Stock Exchange of India, both hold considerable sway over
their respective financial markets. However, as markets become increasingly interconnected,

the influence of one index on another cannot be overlooked.

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