Crude oil and gold emerge as key hedging tools in stock markets
The article explores how crude oil, gold, and Chinese stock markets related to new energy vehicles are connected and affect each other's volatility. The researchers found that these assets are highly interdependent, with systemic shocks being transmitted mainly by the stock markets. During major crises, volatility spillover increases significantly. Crude oil and gold are good hedging tools, and investing in them alongside stock markets can lead to effective hedging strategies.