| Great achievements have been obtained after more than ten year development in Chinese stock market.While Chinese stock market has been making great achievements,it still has many shortcomings,among which the most prominent is about its efficiency.This essay trys to study Chinese stock market efficiency and its operation by examining the correlation between stock prices and their financial information.First,it depicts and analyzes the relative theories on the correlation between stock prices and their financial information;Then, using the cumulative abnormal return method the essay makes an empirical analysis on the correlation between stock prices and their financial information. To get a deeper and more general view,the essay also makes the analysis on the correlation between stock prices and their financial information which bases on operating profit and operating cash flow of listed corporations;Meanwhile ,to obtain a general view from different aspects on the correlation between stock prices and their financial information,the CAPM model approach is introduced on the issue researched in the essay;Finally,to obtain a more general understanding on this subject,the essay also does some due research based on the measurement prospective.Having finished data processing and done detailed analysis,the essay comes to a conclusion on the correlation between stock prices and their financial information,and based on this conclusion,an evaluation is given on the operation and efficiency of Chinese stock market.At last policy and advice are provided. |
