Research On The Influence To The Monetary Policy By The Development Of Stoke Market

With the development of stock market and the flux of financial structure, a country monetary policy will undertake more and more influence. It is an important task to be solved to reflect such variations and make relevant adjustments in current monetary policy theory and practice. This thesis begins with the internal relation between the flux of financial structure and the monetary policy, and chooses the Assets Selection Theory as its cut-in point. It expounds the basic movement mechanism of how the stock market influences the monetary policy, and makes practical analyses with China economic and financial development. Secondly, the thesis analyzes in depth how the stock market affects every factor of monetary policy----policy conduction mechanism and its intermediary targets, etc. With the research on China current conditions and data the article comes to the conclusion that China stock market developments do have deep influence on our monetary policy conduction mechanism and the intermediary targets. Lastly, the thesis summarizes that a country monetary policy must make relevant adjustments since the development of stock market will distinctly affect every aspect of it. According to the above analyses, several countermeasures and suggests on the basis of the are put forward according to the development of China stock market so as to improve our monetary policy.