Survey the Impact of Selected Global Commodity Indexes on Metal Ore Mining Index of Tehran Stock Exchange

Document Type : Original Article

Authors

1 Assistant Prof, Department of Finance and Banking, Allameh Tabataba’i University, Tehran, Iran,

2 Associate Prof, Department of Finance and Banking, Allameh Tabataba’i University, Tehran, Iran.

3 Assistant Prof, Department of Accounting, Allameh Tabataba’i University, Tehran, Iran.

4 Ph.D Candidate in Financial Management, Allameh Tabataba’i University, Tehran, Iran.

Abstract

Regarding the importance of the stock market and commodity indexes as a predictive index, in this study, the effect of selected global commodity indices on the index of metal ores in the Tehran Stock Exchange has been investigated. Using the monthly state data from April 25th, 2012 to January 20th, 2020, the impact of the index of Bloomberg industrial metals, and the index of Nasdaq industrial metals on the index of metal ores extraction in Tehran stock exchange were studied by ARDL method. To investigate the existence of the long-term relationship, a bound testing was used. In order to control the effects of liquidity, consumer’s inflation, producer’s inflation, and the exchange rate in the unofficial market on independent and dependent variables, these variables were used as control variables in the model. The results show that the global commodity indexes of CRB without energy, Bloomberg industrial metals index, and Nasdaq industrial metals index have a positive and meaningful relationship with the index of metal ores extraction in the Tehran stock exchange Among the above two indexes, the Nasdaq industrial metals index was more influential on the metal ores extraction index than the Bloomberg industrial metals index.

Keywords

References

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Financial Management Perspective
Volume 11, Issue 33
April 2021
Pages 85-112

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