The Research On The Monetary Policy Transmission Effect To The Stock Market In China

In recent years, China's stock market has been rapid development, the stock market has the allocation of resources, asset pricing, improve the efficiency of markets such as business management function in the role of economic life, an increasingly large impact more and more profound. With the decline in the status of traditional commercial banks, capital markets activities in the financial position of the growing, China's capital market and money market's long-term split, so that the stock market as the importance of monetary policy transmission mechanism can not receive due attention, in the to a certain extent, reduce the effectiveness of monetary policy. Financing of the scale of China's stock market continued to expand and personal investment in the proportion of household income, gradually increase, making the stock market and monetary policy implementation of the mutual impact became clear, the stock market has become the monetary policy transmission in a realistic and increasingly important channel for, is to improve the value of the monetary policy transmission is an important component. Domestic scholars pay more attention to monetary policy, the relationship between the stock market and financial stability, the lack of systematic study of the stock market transmission mechanism, in the context of such an objective study of the stock market transmission mechanism of monetary policy has some practical significance.In this paper, the stock market of China's monetary policy transmission effects in this study. The main problem is the study of China's stock market transmission mechanism of monetary policy are effective or smooth. First, from a theoretical transmission mechanism of monetary policy and the stock market, and then how the role of monetary policy is in stock prices, and thus the stock price fluctuations through the process of economic entities, empirical analysis, empirical analysis results show that: in monetary policy affect stock prices in the money supply, stock prices had weak positive effects, the impact of interest rates on stock prices in the long term is inversely affected, but the role of short-term since 2004 has been gradually weakened; in stock prices on the real the impact of economic behavior, the existence of China's stock market wealth effect than the weak, which will affect actual investment of Tobin's q effects yet to come. From the empirical results of the analysis we can see that China's stock market less efficient transmission of monetary policy, the result is not satisfactory. Therefore, this article further analysis of the stock market of China's monetary policy transmission process of the barriers that may exist and, based on the current state of development of China's stock market, how to improve the efficiency of conducting monetary policy of China's stock market, make recommendations, it should be in the stock market, business investment environment and monetary policy itself has three aspects of sound in an attempt to healthy and stable development of China's stock market to provide some support for the theory and practice.