An Empirical Research Of Co-movement Of Industry And Locations: Evidence From Chinese Stock Market

There are many stocks existing in the stock market which have the significant economic meaning, likewise, the stocks that have the territorial and industial connection or have the same characters in the operational management will spontaneously come into an organized whole, when these common characters have been recongized, these stocks will become the stock fields. Do the interactive research on these stocks and guide the investment action based on the field price evolvement rules has became the hot point recently. So far, the study on yield rate has been done intensive by the community of scholars, and so many achievements have also been obtained which are meaningful to the reality. In this paper, the author has taken the existing research results as the reference and focus on the industial or territorial effect in China's stock market in order to discuss their influece on stock yield rate, this is a new topic and has the academic and practical meaning.The stocks that in the same region or industy have the similar characters or the same effects brought by the outside environment, so theoretically speaking, the industial or regional field has the certain correlation in the ysecondary market. In this paper, the author has taken all the listed company in the Shanghai Stock Exchange A-Shares as his research targets. By using the yield rate of stocks and and the historial data in Shanghai Composite Index, the author has compared the correlation coefficent of intra-industry and out-industy's yield rate which are under different industial group standard and obatined the interactive relationship between the stocks field and stocks' profit. By establishing the profit model which includs the three dimensions of region, market portfolio and industry, the revenue models with the same geographical investigation the stocks of a listed company existence linkage between yields co-movement phenomenon and the influence factors of strength.