Research on Information Transmission and Price Discovery Mechanisms in the Ferrous Metal Futures Market
Year: 2025
Type: article
Abstract: This paper focuses on the ferrous metal futures market, delving into its information transmission and price discovery mechanisms. In the theoretical study of information transmission mechanisms, the efficient market hypothesis and Hayek's theory of dispersed information serve as the foundation, analyzing multiple channels of information transmission, the information acquisition behaviors of different participants, factors affecting transmission efficiency, manifestations of information asymmetry, and their impact on price volatility mechanisms. Regarding the price discovery mechanism, the paper clarifies its definition and operational principles, outlines the composition and main characteristics of the ferrous metal futures market, analyzes specific applications of price discovery, and discusses key factors influencing the price discovery mechanism, such as supply and demand fundamentals, macroeconomic indicators, policy regulation, market participant structure, international linkage effects, and trading system design. The research aims to comprehensively reveal the operational laws of the ferrous metal futures market, providing theoretical support and practical guidance for market participants' decision-making and market regulation.
Source: DEVELOPMENT ECONOMICS OF CHINA
Authors: Boxuan Shen, Xueting Ji
Language: English
Subfield: Finance
Domain: Social Sciences
Open Access status: bronze
Funder: Liaoning University
OpenAlex ID: W4408847217