Advanced

Base metals, a base for stock prices

Kärrlander, Erik (2010)
Department of Economics
Abstract
In this thesis we investigate three base metals’ price changes relationship with metals and mining companies’ stock return. A two-stage regression method is used with copper, nickel and zinc for eighteen companies. For each company we first run a multiple regression analysis with the three metals’ price changes as variables to create beta values. Thereafter a regression on each metal beta is conducted with company specific and non-company specific variables. A conclusion of the thesis is that copper is the driving factor for the metals and mining industry stock returns. In general, the beta values are more dependent on market indicators rather than on company specific indicators. However, financial key ratios seem to influence the beta... (More)
In this thesis we investigate three base metals’ price changes relationship with metals and mining companies’ stock return. A two-stage regression method is used with copper, nickel and zinc for eighteen companies. For each company we first run a multiple regression analysis with the three metals’ price changes as variables to create beta values. Thereafter a regression on each metal beta is conducted with company specific and non-company specific variables. A conclusion of the thesis is that copper is the driving factor for the metals and mining industry stock returns. In general, the beta values are more dependent on market indicators rather than on company specific indicators. However, financial key ratios seem to influence the beta values. (Less)
Please use this url to cite or link to this publication:
author
Kärrlander, Erik
supervisor
organization
year
type
M2 - Bachelor Degree
subject
keywords
Mining, multiple regression, stock return, metal, Economics, econometrics, economic theory, economic systems, economic policy, Nationalekonomi, ekonometri, ekonomisk teori, ekonomiska system, ekonomisk politik
language
English
id
1552183
date added to LUP
2010-02-02 00:00:00
date last changed
2010-08-03 10:53:02
@misc{1552183,
  abstract     = {In this thesis we investigate three base metals’ price changes relationship with metals and mining companies’ stock return. A two-stage regression method is used with copper, nickel and zinc for eighteen companies. For each company we first run a multiple regression analysis with the three metals’ price changes as variables to create beta values. Thereafter a regression on each metal beta is conducted with company specific and non-company specific variables. A conclusion of the thesis is that copper is the driving factor for the metals and mining industry stock returns. In general, the beta values are more dependent on market indicators rather than on company specific indicators. However, financial key ratios seem to influence the beta values.},
  author       = {Kärrlander, Erik},
  keyword      = {Mining,multiple regression,stock return,metal,Economics, econometrics, economic theory, economic systems, economic policy,Nationalekonomi, ekonometri, ekonomisk teori, ekonomiska system, ekonomisk politik},
  language     = {eng},
  note         = {Student Paper},
  title        = {Base metals, a base for stock prices},
  year         = {2010},
}