Impact of US Real GDP on S&P 500 Sector-Specific Market Capitalization

EasyChair Preprint 15432

Abstract

This research paper investigates the influence of the United States Real Gross Domestic Product (GDP) on the market capitalization of companies listed in the S&P 500 index, with a specific focus on individual sectors. Employing regression analysis, I examine data spanning the years 2007 to 2021, aiming to unravel the intricate relationship between economic growth and market performance. The study reveals intriguing insights, highlighting the presence of a consistent and positive correlation within the Communications and Real Estate sectors. By analyzing the interplay between US Real GDP and sector-specific market capitalization, I shed light on the potential impacts of macroeconomic factors on distinct segments of the market. My findings hold relevance for investors, analysts, and policymakers alike, as they offer valuable perspectives on how economic indicators influence the market behavior of specific sectors. This research contributes to a deeper understanding of financial dynamics and can aid in making well-informed decisions within the realm of finance and investment.

Keyphrases: Macroeconomic, Market Capitalization, economic growth, market performance

@booklet{EasyChair:15432,
  author    = {Ramakrishna Ramadugu},
  title     = {Impact of US Real GDP on S&P 500 Sector-Specific Market Capitalization},
  howpublished = {EasyChair Preprint 15432},
  year      = {EasyChair, 2024}}