An Empirical Study On The Linkage Of Stock Markets In China And America From The Perspective Of Monetary Policy

With the establishment of market economy in China,China's financial and stock markets have achieved rapid development through continuous reform in recent years,the degree of opening up has been increasing,which is more closely linked with other international financial and stock markets.The trend of economic globalization is irreversible.The degree of cooperation and joint participation of countries in different regions is deepening,and the economic and trade exchanges among countries are increasing.The stock market is an important part of the economy and a barometer reflecting the real economy.Under such circumstances,the linkage of stock markets in major international countries and regions is becoming stronger.China's stock market was established in 1990,which started later than other major developed countries in the world.Therefore,in the initial stage,there are still some imperfections in the aspects of law,mechanism and system.In recent years,due to the deepening of China's economic reform,China's stock market has embarked on the fast lane of development and reform,deepening the degree of opening to the outside world,and increasingly close ties with the stock markets of other major countries in the world.Many new changes have taken place in the linkage of the stock market.Monetary policy is an important factor affecting the stock market.For a long time,China's monetary policy has had an important impact on China's stock market.With the continuous integration of China into the world monetary system,the adjustment of monetary policy of other major countries in the world has caused more and more influence on the formulation of monetary policy in China.In December 2015,the Federal Reserve adjusted its benchmark federal interest rate seven years apart,thus opening the Fed's interest rate increase channel.The adjustment of American monetary policy has exerted a great influence on the monetary policy of many countries and regions in the world,and this influence is also conveyed to our monetary market.Therefore,the impact of the Fed interest rate increase on China's stock market through the transmission of monetary policy and the changes in the linkage between the Chinese and American stock markets are worth studying.This paper will take the United States as the representative and the adjustment of the Federal Reserve's monetary policy as the time node.Through comparison,make an empirical study on the linkage between the stock markets of China and the United States under the topic of "Empirical Research on the linkage between the stock markets of China and the United States from the perspective of monetary policy"..