macroscopic
Generally speaking, monetary policy is a lagging reaction of economic fundamentals. Under the background that the economy has not yet stepped out of the recession range, it is difficult to completely withdraw the de facto easing of monetary policy. The superposition of Evergrande credit risk further ferments. The market needs necessary liquidity support to alleviate the excessive divergence of credit risk. From the perspective of liquidity gap, December 2021 to January 2022 are the window period for RRR reduction. Considering Evergrande’s credit risk evolution and the large amount of MLF maturing in December, we expect to see RRR reduction and partial replacement of expired MLF in mid December.
Metalworking — quantification
The overall performance this week is small market value, value style and momentum effect. Momentum factor and BP factor have significant positive returns, while residual volatility, nonlinear market value and size factor have significant negative returns. Pb-roe-50 portfolio fluctuated little month on month in the whole market stock pool this week. The excess return in the CSI 500 stock pool was – 0.53%, the excess return in the CSI 800 stock pool was – 0.13%, and the excess return in the whole market stock pool was 0.16%.
Metalworking
The market rebounded in an all-round way this week. The CSI 500 was at the “safe” level of the valuation quantile, the gem index was at the “dangerous” level, and the other broad-based indexes were at the “moderate” level. The cross-section volatility and time series volatility of the main wide bases rebounded month on month. The net capital inflow from the North exceeds 10 billion yuan. In terms of industries, the industries with higher net inflow are electronics, power equipment, new energy and non bank finance; The industries with higher net outflow are food and beverage, transportation and steel.
Metalworking
The risk appetite of investors is reduced, the competition of new funds is intensified, and the fund issuance market is obviously divided. The innovative product qdii-fof-lof is intensively declared to facilitate overseas asset allocation. Summary of market performance: the A-share market rose collectively this week. Construction and decoration sector led the rise, while mining, national defense and military industry and public utilities sector performed prominently. The shares issued by the new fund decreased slightly compared with last week. Defense and military industry theme funds led the increase. The median income of cross-border ETFs was – 1.63%, and the net outflow of monetary ETFs was 14.636 billion yuan.
