This study investigates the nature of the financial integration of India’s stock market with selected Asian stock markets. In this study, month-wise average prices of BSE-Sensex, HangSeng, Nikkei225, SSE Composite index and Singapore Straits Times Index have been selected. Descriptive statistics and Correlations have been computed for the select stock market indices. Statistical Significance of the correlation has been tested by applying correlation t-test. The results of these studies support the view that there is a substantial integration between domestic and international financial markets. BSE-Sensex has witnessed greater fluctuations which has been indicated by very high Co-efficient of variation compared to other select indices. Sensex, the Indian bench market index, has shown strong association with Singapore STI and Hang Seng and weak association with Nikkei 225 and SSE Composite index.

This study investigates the nature of the financial integration of India’s stock market with selected Asian stock markets. In this study, month-wise average prices of BSE-Sensex, HangSeng, Nikkei225, SSE Composite index and Singapore Straits Times Index have been selected. Descriptive statistics ...