Abstract
The interactions between nonferrous metal and crude oil markets have been wildly discussed in recent years. However, these interaction effects under extreme bearish and bullish market conditions are rarely investigated. This paper aims to quantify not only the extreme connectedness effects between China's nonferrous metal and crude oil futures markets, but also the hedging benefits of green bond on the nonferrous metal and crude oil futures portfolios. The empirical results show that China's nonferrous metal, crude oil and green bond markets are very closely connected under extreme bearish and bullish market conditions with no clear asymmetry. Moreover, the China's green bond can provide moderate hedging benefits to the nonferrous metal and crude oil futures portfolios even in extreme market environments, and these benefits are stable across different allocation methods.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
