IJ
IJCRM
International Journal of Contemporary Research in Multidisciplinary
ISSN: 2583-7397
Open Access • Peer Reviewed
Impact Factor: 5.67

International Journal of Contemporary Research In Multidisciplinary, 2026;5(4):839-847

Examining the Influence of Social Media on Stock Market Volatility: A Behavioral Study of Retail Investors

Author Name: Gaurav Sharma;   Dr. Kumbhan Khandelwal;  

1. Research Scholar, School of Commerce, Devi Ahilya Vishwavidyalaya, Indore, Madhya Pradesh, India

2. Professor, Department of Commerce, Principal Government College Kampel, Indore, Madhya Pradesh, India

Abstract

This study analyzes data from 72 retail investors to evaluate the impact of social media and financial influencers on stock market behaviors. Empirical testing reveals a significant relationship (p= 0.0382), showing that active engagement with influencers directly causes investors to modify their trading strategies. However, demographic factors and market familiarity do not alter the universal skepticism respondents share regarding the overall accuracy of digital financial information. A critical vulnerability was also identified, highlighting a widespread, cross-generational inability to independently verify the credibility of online financial claims. The findings suggest that future regulatory efforts should focus on influencer accountability, alongside a renewed push for digital financial literacy tools.

Keywords

Social Media, Stock Market Volatility, Retail Investors, Financial Influencers, Investor Behaviour.