european central bank cryptocurrency- Top Knowledge graph

Second, the dependence of derivative financial products on the stock market2. The function of capital accumulation and resource allocation in the stock market.The stock market also has the function of resource allocation. The rising stock market can guide the flow of funds to enterprises with good efficiency and development potential, and realize the optimal allocation of resources. When the stock price does not rise, the flow of funds may be stagnant or disorderly, and those high-quality enterprises that should have been supported by funds may be ignored, resulting in waste of resources and inefficient allocation.

Second, the dependence of derivative financial products on the stock market1. The nature and risks of derivative financial productsStock capital market: if the stock price base does not rise, all other derivatives will be zero.

According to the research report of financial institutions, the trading volume of derivative financial commodity market usually drops sharply during the period of stock market downturn. This is because investors' income expectations of derivative financial products have decreased, while risk aversion has increased. For example, during the global financial crisis in 2008, the stock market plummeted, and the markets of derivatives such as futures and options also fell into chaos. Many investors suffered heavy losses because of the transactions of derivatives.First, the basic position of the stock capital marketStock capital market: if the stock price base does not rise, all other derivatives will be zero.