Can crude oil serve as a hedging asset for underlying securities? - Research on the heterogenous correlation between crude oil and stock index

In the increasingly frequent global financial turmoil, investors prefer to invest in stable assets to hedge risks. Crude oil naturally has dual use value as a general commodity and as a financial asset, which has attracted wide attention. In this paper, we adopt a wavelet coherence analysis to study the standard of crude oil as a hedging asset and analyze the dynamic correlation of crude oil and stock market price fluctuations in the four economies of the United States, Japan, China and Hong Kong at different frequencies. The empirical evidence shows that crude oil can be conditionally used as a hedging asset for underlying securities. From the perspective of space, crude oil is suitable for investors in China's stock market as a hedging asset, while for stock markets in the US, Japan and Hong Kong, the ability of crude oil to hedge risk has been greatly weakened. From the perspective of investment term, although crude oil cannot be regarded as a hedging asset for long-term investment, it can still play a hedging role in the short term. When the market is in a state of panic, the ability of oil to hedge risk is stronger

Block-block entanglement and quantum phase transitions in one-dimensional extended Hubbard model

In this paper, we study block-block entanglement in the ground state of one-dimensional extended Hubbard model. Our results show that the phase diagram derived from the block-block entanglement manifests richer structure than that of the local (single site) entanglement because it comprises nonlocal correlation. Besides phases characterized by the charge-density-wave, the spin-density-wave, and phase-separation, which can be sketched out by the local entanglement, singlet superconductivity phase could be identified on the contour map of the block-block entanglement. Scaling analysis shows that ${\rm log}_2(l)$ behavior of the block-block entanglement may exist in both non-critical and the critical regions, while some local extremum are induced by the finite-size effect. We also study the block-block entanglement defined in the momentum space and discuss its relation to the phase transition from singlet superconducting state to the charge-density-wave state.Comment: 8 pages, 9 figure

Entanglement and quantum phase transition in the extended Hubbard model

We study quantum entanglement in one-dimensional correlated fermionic system. Our results show, for the first time, that entanglement can be used to identify quantum phase transitions in fermionic systems.Comment: 5 pages, 4 figure

PACIAE Model Predictions for Pb+Pb Collisions at LHC Compared to the Au+Au Collisions at RHIC

The parton and hadron cascade model PACIAE is used to simulate the 0-6, 15-25, and 35-45 % most central Au+Au collisions at \sqrt{s_{NN}}=19.6, 62.4, 130, and 200 GeV and the 0-10 % most central Pb+Pb collisions at \sqrt{s_{NN}}=5500 GeV. The calculated charged multiplicity and the charged particle transverse momentum distribution, pseudorapidity distribution, and extended longitudinal scaling for Au+Au collisions well agree with the corresponding PHOBOS data. Thus the above observables calculated for Pb+Pb collisions would be a reliable prediction.Comment: 4 pages, 3 figure