All activities of monetary authorities have a significant effect on stock prices and the fluctuation of interest rates signals excellent or terrible data to financial specialists. (Lobo, 2000). The exchange rate and the stock market also have a relationship. Foreign financial specialists exchange their stock market profits into their own currency. Foreign financial specialists are affected when the local currency becomes stronger and converted to a weaker currency. The exchange rate has a negative relationship with stock prices. When the exchange rate increases, the stock price decreases and when the exchange rate decreases, the stock price increases. In this case, stock prices should cause the exchange rate to have a negative correlation [also explained by Krueger (1983)]. The inflation rate as measured by the Consumer Price Index (CPI) represents the trend in prices of goods and services in the economy. Other key influencing factors are money supply growth, supply side bottlenecks, government administered price adjustment, imported inflation (exchange rate adjustment) and rising global prices of fuels and food products. The CPI, which corresponds to overall inflation, largely reflects price developments and is therefore considered an indicator of price developments.