Research And Analysis On Promoting Shanxi Aluminum Industry Development By Futures

The futures market is an inevitable outcome after the spot market has developed to a definite stage of development.Meanwhile,the economic power of the futures market is also accelerating the development of the spot market.And the price discovery function will become a barometer of the spot market,which can more efficiently help the market price become reasonable.What’s more,the hedging function of the future’s market can also help enterprises avoid huge economic losses caused by price fluctuations,so as to ensure the continuous expansion of industrial scale and keep the sustainable progress of the industry.From the perspective of the development of the aluminum industry in Shanxi Province,it has rich aluminum resources and aluminum enterprises,but the imbalance and insufficient contradiction are prominent in the development process.The fluctuation of energy product prices is also harmful to the development of the aluminum industry in Shanxi Province.We can hardly see the shadow of financial tools in the development process.Thus,based on such features of Shanxi Province’s aluminum industry,this paper intends to throws out suggestions which solve the problems encountered in the course of development of the aluminum industry in Shanxi from the perspective of the application of new futures tools.From the special perspective of promoting the development of Shanxi Aluminum industry through futures tools,this paper explores the promotion effect of futures market tool price discovery on the development of regional industries.Through careful and frequent field research and literature search,this paper obtains the development of Shanxi Aluminum Industry,futures industry and the use of futures tools by entity enterprises,Based on this,this paper summarizes the problems existing in the use of futures tools by aluminum related entities in Shanxi Province,and puts forward solutions and ideas from the aspects of cultivating futures awareness,enriching futures varieties,strengthening system construction and talent training,in order to effectively promote the development and prosperity of aluminum industry in Shanxi Province.After empirical calculation,this paper proves that aluminum futures price can have a price guiding effect on Shanxi Aluminum spot market.At the same time,it proves that the hedging rate value obtained between the future and current prices of aluminum products in Shanxi Province is very close to 1.Therefore,aluminum related enterprises in Shanxi Province can effectively adjust production and operation and avoid the risk of price fluctuation by using spot tools to carry out hedging activities.This result not only confirms the theoretical speculation in this paper,but also makes the research more scientific and rigorous.There are three main innovations of this paper: First,rich and detailed research and visit experience.The all-round visit and investigation also ensure the correctness of the research ideas and research directions of this paper,and lay a sufficient practical foundation for this paper in the current situation chapter and the suggestions chapter.In the previous writing of many academic papers,there is little field research on the enterprises and departments involved,which is often limited to the theoretical level and is prone to inconsistency in practical operation,The suggestion of this paper is based on rich research knowledge,which can provide practical development ideas for relevant subjects.Second,theoretical innovation.Previous studies mostly separated the futures market from the spot market,only few of them paid attention to the field of entity industry in the service area of the futures market,especially the non-ferrous industry.This paper attempts to link the futures market with the non-ferrous entity industry and utilize the empirical proof,which can enrich the relevant theories of the non-ferrous entities in the futures market service area.Third,it achieves good applicability.Most of the advance ideas and suggestions given by previous scholars can be applied in many regions and pursue universality.However,the suggestions in this paper are closely combined with the actual situation of Shanxi Province,with strong pertinence and feasibility,which can effectively provide ideas and reference for the aluminum industry in Shanxi Province to promote the development of futures tools.