A Study On The Linkage Effect Of International Commodity Price On China 's Commodity Market Price

Since its accession to the WTO, the degree of China participation in the globalization of economic development has deepened. Along with the enhancement of comprehensive national strength, China is playing an important role in the development of the global economy. However, China’s rapid economy has come to rely more and more on the commodity imports.At present, China is standing at an important historical stage of urbanization, which requires a lot of commodities input, such as energy resources、raw materials and so on. But our country is weak at the control of commodity prices, which are in the hands of western developed countries. So the macro economy of China is facing a severe test to the aggregate fluctuations of commodity prices.This paper has studied the markets spillover effects between international commodity futures/spot markets and China commodity markets (including spot and equity markets), and compared the markets spillover effects differences before and after the subprime crisis. It tries to reveal the relationship between the foreign commodity markets and China commodity markets, and make positive suggestions to the promotion of China commodity market development.