After the market opened high yesterday, it fluctuated at a high level throughout the day, led by the gem index. The turnover of Shanghai and Shenzhen stock markets was 1078.7 billion, a decrease of 83 billion compared with the previous trading day. In terms of sectors, covid-19 treatment, assisted reproduction, covid-19 detection, pharmaceutical commerce, traditional Chinese medicine and other sectors led the increase, while precious metals, oil and gas exploration, agriculture, East West calculation and other sectors led the decline. As of yesterday’s close, the Shanghai index rose 1.22%, the Shenzhen Composite Index rose 2.18% and the gem index rose 2.67%. Northbound funds sold a net 3.374 billion yuan throughout the day, including 1.118 billion yuan for Shanghai Stock connect and 2.256 billion yuan for Shenzhen Stock connect.
Overnight, the three major US stock indexes collectively closed down, with the Dow down 0.34%, the S & P 500 down 0.43% and the NASDAQ down 0.95%. Software applications and popular Chinese stocks led the decline, and the NASDAQ Jinlong China Index closed down 10%, the largest decline since October 2008. Iqiyi fell more than 21%, pinduoduo fell more than 17%, JD fell more than 15%, BiliBili fell more than 14%, Xiaopeng automobile fell more than 9%, Alibaba fell more than 7% and Baidu fell more than 6%; Pharmaceutical stocks Baiji Shenzhou fell more than 5%. Most large technology stocks fell, with Amazon up more than 5%, apple and Tesla down more than 2%, Microsoft and NVIDIA down more than 1%.
At the morning meeting of securities companies today, Shanxi Securities Co.Ltd(002500) said that it is recommended to pay attention to the undervalued and high-quality targets; Huafu Securities believes that A-Shares have rebounded and stick to the main line of steady growth; In terms of industry opportunities, Dongguan Securities pointed out that the year-on-year decline in excavator sales in February narrowed and improved month on month.
Shanxi Securities Co.Ltd(002500) : focus on the low value and high-quality target
Shanxi Securities Co.Ltd(002500) believes that yesterday’s overall rebound is a normal adjustment after continuous sharp correction, and the periodic recovery after the release of panic is not uncommon, but it once again reminds us to maintain a certain degree of caution. The current market sentiment is still fragile, and the Russian Ukrainian negotiations release positive signals, but the uncertainty still exists, The market may still focus on the structural repair market in shock. It is suggested to focus on the undervalued and high-quality targets that are expected to benefit from policy trends such as “steady growth”, digital economy and carbon neutralization.
In terms of the sector, Shanxi Securities Co.Ltd(002500) said that the pharmaceutical and biological sector performed strongly yesterday, among which the stocks in the traditional Chinese medicine sector generally rose. Under the favorable policies, the traditional Chinese medicine sector still has better allocation value, so it is suggested to focus on it. Affected by the local outbreak of the epidemic in China, the covid-19 detection concept sector, which experienced a large correction in the early stage, led the rise strongly in the afternoon. At present, the basic trend that the detection is greater than the treatment remains unchanged, so it is recommended to pay appropriate attention.
Huafu Securities: A shares rebound and stick to the main line of steady growth
Huafu Securities pointed out that at present, the geopolitical conflict between Russia and Ukraine has shown signs of slowing down, and the stage with the strongest disturbance from overseas factors may be in the past, although it will still be repeated – on March 10 local time, the foreign ministers of Russia and Ukraine held talks on ceasefire in Turkey, and there is no further progress from their speeches after the end. However, for a shares, China’s economic fundamentals, liquidity and policies are the core influencing factors, and various overseas events can only be secondary factors, which can not affect the general trend. Now that the government work report has made it clear that this year’s GDP growth target is 5.5%, with the support of stable growth policies in various fields, China’s expectation of a better economy is expected to gradually strengthen. As for the future, we believe that although the rebound may not be achieved overnight, it is still recommended to continue to adhere to the main line of steady growth and gradually build positions around “low and undervalued”.
Dongguan Securities: the year-on-year decline in excavator sales in February narrowed and improved month on month
Dongguan Securities pointed out that in February 2022, the year-on-year decline in excavator sales in China narrowed, and the chain ratio changed from negative to positive. The operating hours of excavators in February increased compared with the same period in 2021 and 2019. At the same time, the sales data of various tonnage of excavators have improved month on month, and the downstream prosperity will recover. In the government work report, while adjusting and stabilizing growth, actively expand effective investment, appropriately advance infrastructure investment, add new special bonds, and balance the higher issuance amount last year, which will effectively support the start of downstream infrastructure projects and is expected to stimulate the demand for construction machinery and equipment. It is suggested to pay attention to the leaders of construction machinery industry: Sany Heavy Industry Co.Ltd(600031) , Zoomlion Heavy Industry Science And Technology Co.Ltd(000157) , Xcmg Construction Machinery Co.Ltd(000425) , Guangxi Liugong Machinery Co.Ltd(000528) .
