Network structure of the correlation between stock returns

In this paper, we selected 284 stocks which contain 13 sectors in 300 stocks in Shanghai and Shenzhen stock market. By these stocks´ daily return data, we make an empirical analysis which based on the concept of complex network. First, We establish the correlation matrix between stock nodes, and determine the threshold of the stock network; Then analyzes the statistical properties of the stock network, and find that the network which based on 300 stocks of Shanghai and Shenzhen market is a small world and scale-free; Finally, it analyzes that the existence of small world and scale-free is reasonable and comes to conclusion that there is a small amount of dominant stocks in stork market, which influence and reflect the stock market, and we give several reasonable opinions and suggestions based on this conclusion.