On December 31, 2021 Hong Kong stock trading officially ended. Although the Hang Seng Index closed up 1.24% on the same day, it closed down 14.08% for the whole year, ranking the bottom among the major indexes in the world.
As of the close, the Hang Seng Index rose 1.24% to close at 23397.67; Hang Seng technology index rose 3.57% to close at 5670.96; The state-owned enterprise index rose 1.73% to close at 8236.35 points; The red chip index rose 0.30% to close at 3899.58.
Looking back on the whole year of 2021, the Hang Seng Index and the Hang Seng China enterprise index fell by 14.08% and 23.3% respectively, while the Hang Seng technology index fell by 32.7%.
In terms of industry, among the industry indexes of Hang Seng Composite Index, the energy industry performed well in 2021, recording an increase of 20.5%; The information technology industry was the worst performing industry, down 32.3%. In 2020, the index performance of the information technology industry and the energy industry was just reversed. The information technology industry rose 69.9%, far ahead, and the energy industry was at the bottom.
Of the 64 Hang Seng index components, 26 rose in 2021. Li Ning (02331. HK), sunny optical technology (02382. HK) and Petrochina Company Limited(601857) shares (00857. HK) performed best, rising 60.4%, 45.4% and 44.2% respectively this year. Two stocks fell by more than 70%, namely Ali health (00241. HK) and Haidilao (06862. HK), down 71.2% and 70.4% respectively. Alibaba (09988. HK), Jinsha China Co., Ltd. (01928. HK), Xiaomi group (01810. HK), Ping An Insurance (Group) Company Of China Ltd(601318) (02318. HK) also fell by more than 40%.
Despite the poor performance of Hong Kong stocks this year, there is still a strong willingness to go south to copy the bottom. As of December 31, the accumulated net purchase amount of southbound funds during the year reached 376.579 billion yuan, which was about 37% lower than that of the previous year, but still ranked second in the inflow amount over the years.
Looking forward to the Hong Kong stock market in 2022, Zhang Yidong, deputy director of China Industrial Securities Co.Ltd(601377) Research Institute and global chief strategic analyst, said that Hong Kong stocks are expected to regenerate at the bottom in 2022, with a deep rebound of 15-20%, which is similar to the average return of a shares. The so-called “bitter cauliflower also has spring”.
Luo Di, manager of UBS asset management asset allocation fund, pointed out that if you look at Hong Kong stocks, the premium index of Hang Seng Shanghai Hong Kong stock connect H shares will gradually push to a high point in the second half of 2021. It is still attractive from the perspective of valuation. The main reason is that the market needs to find confidence and realize that the industry is still developing, has long-term growth and will grow more healthily.
Xingzheng international research report pointed out that after the full adjustment of Hong Kong stocks, they are at an obvious low level. After the sharp decline of regulated industries, they basically reflect bad factors, and their drag effect will be reduced a lot next year. The market may fluctuate and rebound, and the large fluctuation range of Hang Seng index is 20000-28000 points. Strategically, based on the margin of safety, look for the intersection of growth, valuation and industry policy.
The agency believes that it needs to pay attention to several aspects. First, China’s economy will grow steadily next year, infrastructure will support the bottom, but it will not be strongly stimulated, and there are opportunities for infrastructure and building materials industries. Overseas liquidity, although the Fed is very hawkish at present, its actual behavior in the past two years is inconsistent with its words and deeds, so it is expected that changes will fluctuate.
(surging News)
