Abstract

The global financial crisis has a negative effect on the global capital market; involving the Indonesia Capital Market (IHSG). This study aims to know the influence of global stock markets to the Indonesia Capital Market, to analyze how the performance of each Global Capital Market compared with others, to find out which are the best and worst markets. The type of this study is a descriptive and explanatory study. The data used is a secondary data with purposive sampling technique. The samples in this study are the global stock exchanges, such as: DJI, NIKKEI,KOSPI, HSI, FTSE, ASX, STI and IHSG. The technique of data collection is by literature study and documentation, while the technique of data analysis is with Eviews5 program. The finding of this study shows that (1) there is a simultaneous significant influence of the global stock exchanges (DJI, NIKKEI, KOSPI, HSI, FTSE and ASX) toward the Indonesia Stock Exchange (IHSG) and partially, there are three world stock exchanges (DJI, FTSE and HSI) which significantly influence IHSG, (2) There is no difference significance of each capital market performance in the global capital markets, And (3) the Indonesia capital market has the highest average market return.

Keywords: Global financial crisis, the global indexes of capital, market return.