The Impact Of CSI300Stock Index Futures On The Volatility Of The Spot Market In China

CSI300index futures trading has entered its fourth year. As a pioneer of Chinese financial derivatives, the CSI300index futures has excellent performance, volume and investors’holding continues getting higher.However, after the international financial crisis, the domestic investors in stock market have experienced great volatility, there are still many investors can not trust financial derivatives transactions. Then the stock index futures in more than four years of operation, does it really play as the "stock market shock absorber" role, it remains to be empirical tested. Market volatility is a measure to value the extent of the transaction price and the fundamental value of financial assets, financial assets of the phase deviation is a comprehensive reflection of the market about the information flow, investors’mood changes, trading system structure and other factors, but also the uncertainty of future market price changes, highlighted the size of the market risk. Volatility is very important to the market of operating efficiency, and is very tight of the information contact in order to build a efficiency market, so when one country or region of the world introduce a new financial product, its impact on the entire capital market and the whole economy volatility highly regarded.In this context, we analyze about China’s stock market, and reviewed the transactions and account circumstances of CSI300stock index futures; and then, we make analysis that the introduction of stock index futures on China’s stock market may bring some potential positive impact; in this context, we use CSI300stock index futures as a starting point, select January1,2009to April16,2014for an empirical test sample space, build the intervention group and the control group by propensity score matching to exclude other external factors affect, the volatility of the transverse and longitudinal data were analyzed to answer whether the introduction of stock index futures play a role in stabilizing the stock market. Through empirical analysis, we have come to that CSI300index futures weakened the spot market volatility; Finally, according to the empirical test results, this paper bring some recommendations about the further improvement to our market system on the present policy.