STOCK MARKET PERFORMANCE

This study is to empirically examines the relationship between trade liberaliazation, stock market and economic development in Nigeria.The study present both procedure and the analytical techniques that the research engages in carrying out the investigation on the impact of capital market on the Nigeria economy. This study adopts the census sampling technique were the population and of the study is the Nigeria economy. The Nigeria economy is chosen as a result of the high inflow of foreign capital as participation in international trade. The Nigeria stock market being the largest in West Africa also makes it the focus of
this study. This research adopts the causal research design which is a type of ex post factor research design. Causal research design is aimed at analyzing the relationship and patterns between two variables.This study was conducted to investigate the impact of trade liberalization, stock market performance and economic development in Nigeria. To this effect, the FMOLS was adopted on time series data that spanned 1987-2020. The result findings were found to be robust to both data manipulations and specifications. From empirical analysis, a general outcome of the study indicates that trade liberalization has had no
significant impact on economic development. Trade openness was found to have a negative and insignificant relationship with economic development in Nigeria.Financial openness had a positive and significant relationship with economic development in Nigeria. Finally, government should make policy to protect local firms and the security exchange commission
must increase the depth and breadth of the market.