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Research Article Open access CC BY 4.0

Analysis of Ramadan Effect on Indonesian Islamic Stock Market: Jakarta Islamic Index (JII) (2016-2020)

Hiro Sejati, Irham Lihan, Ernie Hendrawaty

Asian Journal of Economics, Business and Accounting · pp. 470–480 · Published 9 Nov 2022

10.9734/ajeba/2022/v22i23887

Abstract

This study aims to determine the effect of Ramadan on the Indonesian Islamic stock market: Jakarta Islamic Index (JII) (2016-2020) which by looking at the difference in return and trading volume activity between Ramadan and non-Ramadan months, this study also aims to determine the difference between the beginning, middle and end of Ramadan. The sample in this study were thirty companies listed on the Jakarta Islamic Index (JII) during Sha'ban, Ramadan and Shawwal from 2016-2020. The data used in this study is secondary data, and the data analysis technique used is the one-way ANOVA test and the Kruskall-Wallis  test. The results of this study indicate that Ramadan does not have a positive effect on the Indonesian Islamic stock market: Jakarta Islamic Index (JII), which is indicated by no significant difference in returns and trading volume activity between Ramadan and non-Ramadan. Furthermore, there is no significant difference in return and trading volume activity at the beginning, middle and end of Ramadan.

Ramadan one-way anova Kruskall-Wallis return trading volume activity behavioural finance

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