Under the influence of overseas geopolitics, all overseas stock markets fell this week, but A-Shares came out of the independent general rising market. The Shanghai composite index achieved four consecutive positive this week, with a cumulative increase of 0.8%; The Shenzhen Composite Index rose 1.78%, ending five consecutive negative days on the weekly line; Gem index (399006. SZ) rose 2.93%, ending three consecutive negative weeks.
Gem refers to a strong rebound this week after entering the technical bear market last week. The lithium battery sector represented by Contemporary Amperex Technology Co.Limited(300750) performed prominently. In addition, pharmaceutical stocks also fought back with orders and performance after continuous pressure. The leading Wuxi Apptec Co.Ltd(603259) (02359. HK) rose nearly 20% this week.
The fly in the ointment is still the turnover. On Friday, the turnover of the two cities was 812.9 billion yuan, which has been less than trillion for 16 consecutive days.
Foreign capital also stayed on the sidelines this week, selling in the first half of the week and buying in the second half of the week, with a slight outflow of 2.399 billion throughout the week. Among them, the net inflow of funds from Shanghai Stock connect was 3.15 billion yuan and the net outflow of funds from Shenzhen Stock connect was 5.549 billion yuan.
Under the dual pressure of Russia Ukraine situation + interest rate hike, the three major indexes of US stocks fell by more than 1.5% this week. After the closing of A-Shares on Friday, the Hang Seng index plunged, and the NASDAQ also fell 1.23%.
Guosheng Securities pointed out that technically, although there is a stop falling trend in the short-term market, the serious lack of trading volume is the key to restricting the upward attack of the index. The transaction of Shanghai stock exchange needs to be enlarged to the level of 500 billion yuan, and the operation idea is mainly oversold rebound.
Wu Yuefeng, fund manager of Fengjing capital, also believes that the insufficient trading volume has led the market to enter a “boring bottoming period”.
Unlike foreign investors, Wendy Liu, chief China equity strategist of JPMorgan Chase, is firmly optimistic about a shares:
In the next 12 months, the CSI 300 index (399300. SZ) may hit an all-time high. The reason is that the profit expectation of the CSI 300 index has been rising in the past few months, and the profit is expected to increase by 20% year-on-year, higher than the previous forecast of 17%. If calculated at a price earnings ratio of 13 times, the CSI 300 index has more than 20% room to rise, and raw materials, financial and industrial stocks help push the stock market upward.
1. FTSE Russell newly incorporated 102 a shares! This big white horse with a market value of 800 billion was “kicked”
On February 18, FTSE Russell, an international index compilation company, announced the quarterly review results of FTSE global stock index series. The adjustment will take effect after the closing on March 18. In this adjustment, the FTSE global stock index series newly included a number of semiconductor A shares such as China Resources Microelectronics Limited(688396) , Rockchip Electronics Co.Ltd(603893) , Hangzhou Lion Electronics Co.Ltd(605358) . In addition, the newly included A-Shares are also distributed in energy, transportation, medical and other sectors. Big white horse China Life Insurance Company Limited(601628) (02628. HK; LFC. US), with a market value of more than 800 billion, has become the only A-share target excluded from the large cap stock category.
2. The RMB exchange rate hit a 46 month high
On February 18, the offshore RMB rose sharply against the US dollar, breaking the 6.3200 mark for a time, reaching a new high of 6.3144 in recent four years, the highest since May 2018. Under the factors such as the contrary monetary policies of China and the United States, the trend of RMB has not weakened, but has become stronger and stronger. In addition to the large increase in the surplus of foreign exchange settlement and sales brought about by the growth of the surplus of trade in goods and direct investment since last year, it is also very important for RMB assets to attract foreign capital to continuously exceed market expectations.
3. Is it the disaster caused by scale? Quantitative giant Jiukun “rollover”
Recently, a $200 million dollar fund under quantitative private placement giant Jiukun investment withdrew nearly 40%, which attracted market attention. Not only Jiukun, since September 2021, the collective withdrawal of quantitative private placement products has continued for half a year. Among the products of head quantitative private placement, many net worth retreated by more than 20%, and some even touched the liquidation line.
4. National Health Commission: China has launched sequential immunization in key areas
On the afternoon of February 19, the joint prevention and control mechanism of the State Council held a press conference. At the meeting, Wu Liangyou, deputy director of the disease control bureau of the National Health Commission, said that recently, with the approval of the joint prevention and control mechanism of the State Council, the National Health Commission has begun to deploy sequential strengthening of immunization (mixed beating). The research data show that both homologous booster immunization and sequential booster immunization can further improve the immune effect.
5, Cansino Biologics Inc(688185) : the company’s covid-19 vaccine has been approved for sequential booster immunization
Cansino Biologics Inc(688185) 2 20 announcement, the company’s recombinant New Coronavirus vaccine (type 5 adenovirus vector) has been approved by China for conditional listing and emergency use in many other countries. After the product is approved for sequential immunization, if the relevant national departments increase their procurement, it will have a certain positive impact on the performance of listed companies.
Next Monday, the central bank will announce the LPR quotation in February. This quotation has attracted much market attention, which affects not only financial stocks, but also the whole market. Last month, the central bank lowered the one-year LPR by 10bp to 3.70% and the five-year LPR by 5bp to 4.60%.
On the whole, institutions have strong expectations for continued interest rate cuts, but do not think there will be an overly intensive rhythm of interest rate cuts.
According to the issuance arrangement, four new shares will be issued next week, including one on the main board of Shanghai Stock Exchange, one on the science and innovation board, one on the gem and one on the Beijing stock exchange.
Cade quartz: veteran of quartz products industry. Its products include quartz pipes, Shi Yingzhou and quartz instruments. It is mainly used in the field of semiconductor integrated circuits and photovoltaic Cecep Solar Energy Co.Ltd(000591) . It is a leading local semiconductor quartz device manufacturer in China in addition to foreign manufacturers such as Hangzhou Dahe, Holly’s Xinyue and Shenyang Hanke. In 2020, the company’s revenue and net profit attributable to the parent company were 164 million and 34 million respectively, with a compound annual growth rate of 21.27% and 26.84% respectively from 18 to 20.
Xingtong shares: a leading enterprise in China’s coastal bulk liquid chemical shipping industry. As of June 30, 2021, the transportation capacity of bulk liquid chemicals of the company accounted for 10.19% of the total transportation capacity of China’s coastal chemical ship market, accounting for the main share. The annual compound growth rate of the company’s operating revenue in the past three years was 28.2%, and the annual compound growth rate of the net profit attributable to the parent company in the past three years was 63.5%.
Huaqin Technology: a leading enterprise in China’s military special functional materials industry, which has the relevant scientific research and production qualification of military products. At the same time, it is also one of the few high-tech enterprises in China that can fully cover the design, R & D and production of normal temperature, medium and high temperature stealth materials.
China Automobile Co., Ltd.: automobile testing ground enterprise can meet the business needs of R & D test and regulatory certification test of most automobile production enterprises and testing institutions in China under the environment of the testing ground. The company is a leading state-owned automobile testing enterprise with license and qualification monopoly, with a gross profit margin of more than 70%.
