Testing of the Relationship Between Metal Prices and Stock Prices Through Granger Causality Analysis: An Application in Borsa Istanbul
This study was conducted to determine the relationship between metal prices and stock prices. To this end, the
interaction between the prices of gold, copper and silver and the stock prices of mining companies quoted on Borsa Istanbul
was investigated. December 2014-May 2016 dollar-based data set was used in the study. Granger causality test was used to
analyze the relationship between metal prices and stock prices. According to the findings obtained, a causality relationship
was identified from copper prices towards stock prices. However, no such causality correlation could be found from the
other metal prices towards stock prices.
Keywords- Metal prices, Mining stocks, Granger causality analysis, Borsa Istanbul