a-share three indexes reproduce deep V reversal, and netizens call it “too exciting”! As of the close, the Shanghai index rose 0.41%, the Shenzhen Composite Index rose 0.62% and the gem index rose 1.15%
some insiders said that the uncertainty of the current geographical conflict and the negative impact of the market are still relatively large. It is a more appropriate investment strategy to see more and move less. It is easier to grasp the investment opportunities after the geographical conflict is relatively clear
On March 11, the three major A-share indexes reappeared the deep V reversal, and netizens shouted “too exciting”!
This morning , the three major A-share indexes fell by more than 2%, and more than 4100 stocks in the two cities fell. In the afternoon, there was a V-shaped rebound in the market, and the three indexes turned red across the board. As of the close, the Shanghai index rose 0.41%, the Shenzhen Composite Index rose 0.62% and the gem index rose 1.15%
On the disk, covid-19 detection concept stocks broke out again in the afternoon, and the sector lifted the limit tide . The index rebounded rapidly due to the rise of intraday changes in the securities sector, Boc International (China) Co.Ltd(601696) , Chinalin Securities Co.Ltd(002945) and Chinalin Securities Co.Ltd(002945) limit.
In terms of sectors, medical devices, agriculture, animal husbandry, feeding and fishery, biological products, traditional Chinese medicine, securities, pharmaceutical commerce and other sectors led the increase, while mining industry, engineering consulting services, power industry, photovoltaic equipment, energy metals, precious metals and other sectors led the decline.
Overall, individual stocks rose more and fell less, with more than 2800 stocks rising in the two cities. The turnover of Shanghai and Shenzhen stock markets today was 1050.2 billion yuan, 28.5 billion yuan lower than that of the previous trading day. Northbound funds sold a net 5.042 billion yuan throughout the day, including 3.142 billion yuan for Shanghai Stock connect and 1.9 billion yuan for Shenzhen Stock connectP align = “center” covid-19 detection concept outbreak
With the increasingly severe epidemic situation in China, covid-19 detection concept stocks broke out again.
In the concept sector, covid-19 detection concept stocks led the rise with an increase of 7.77%. In addition, the conceptual sectors such as in vitro diagnosis, recombinant protein, covid-19 drugs, precision medicine and virus prevention and control followed suit, with increases of 7.3%, 5.84%, 4.95%, 4.85% and 4.43% respectively.
Vid-19 stocks rose in many aspects. Specifically, the Shanghai Labway Clinical Laboratory Co.Ltd(301060) , Beijing Hotgen Biotech Co.Ltd(688068) and other stocks rose by more than 10%.
“in the context of serious epidemic situation in China, the anti epidemic sector has attracted market attention, especially antigen detection, self inspection and covid-19 specific drugs.” Jianhong times investment director Zhao Yuanyuan told the reporter of international finance.
Zhao Yuanyuan pointed out that yesterday, Wuxi issued a document focusing on family independent detection. Nmpa recently approved a covid-19 antigen detection kit, which stimulated relevant sectors at sunset before Pfizer’s agency. In the medium term, antigen detection has the advantages of fast and low price. Self inspection avoids the infection caused by large-scale screening and has a large market space. In addition to companies with OTC products (you can pay more attention to those in the application for approval), upstream supply chains such as recombinant N protein, chromatographic filler, chromatographic medium and customized consumables also benefit. The follow-up sustainability of the sector depends on the progress of the epidemic and the self-test promotion of covid-19. It is not recommended to participate in high-level stocks.
“the recent epidemic situation in China has been repeated, and the increased demand for covid-19 testing is the fundamental background to promote the strength of covid-19 testing sector.” Huahui Chuangfu investment general manager yuan Huaming told the reporter of the international finance news that the expectation of countercyclical policies after the two sessions boosted investor sentiment. Plate varieties with relatively prominent offensive attributes, including covid-19 detection concept, have also attracted more attention from the marketP align = “center” brokerage sector changes pull up
It is worth noting that the brokerage sector rose in the afternoon, which ejected a lot of force for the realization of deep V reaction of the three major A-share indexes in the afternoon.
Specifically, the securities industry sector rose 3.05% as a whole today, with a trading volume of 251100. In terms of individual stocks, Boc International (China) Co.Ltd(601696) , Chinalin Securities Co.Ltd(002945) , China International Capital Corporation Limited(601995) , Zhongtai Securities Co.Ltd(600918) , Shanxi Securities Co.Ltd(002500) , Guosheng Financial Holding Inc(002670) all rose by more than 5%, leading the rise.
Yuan Huaming said that the two sessions have established the direction of this year’s comprehensive registration system reform. The brokerage sector is not only a barometer of the stock market, but also the main and direct beneficiary of the dividend of the A-share market reform. Today is the closing of the two sessions and the time for the premier to answer reporters’ questions. The expectations for the reform of the capital market after the two sessions and the adverse performance of the A-share market this afternoon have promoted the changes in the securities sectorP align = “center” how will A-Shares go in the future
With regard to the future trend of a shares, Xia Fengguang, manager of Rongzhi investment fund under private placement paipai.com, told the international finance news that the variables to be paid attention to in the medium term mainly include the following three points:
First, at the interest rate level, pay attention to the upcoming interest rate meeting of the Federal Reserve in March. The trend of the Federal Reserve will have an impact on the monetary policies of major economies; Second, the rhythm of the implementation of fiscal policies after the two sessions, and how credit and fiscal policies ensure the economic growth objectives of the two sessions; The third is the change of capital supply in the stock market.
Xia Fengguang believes that from the market side, it has not yet separated from the bottom area. Since 2015, the three important market bottoms have been in the form of sharp bottoms. Whether it will repeat this time needs further observation. At present, the valuations of the main stock indexes in the market are low. When the valuation is compressed to a certain extent, as long as the capital can keep up, it will not stay in the undervalued area for too long. Therefore, the probability of starting a repair market in the middle of the year is still relatively large. It is suggested to pay attention to the industry sectors in the direction of financial benefits, as well as growth stocks that have fallen more since this year.
Zhao Yuanyuan said that the medium-term trend of the market depends on the expected loosening of China’s base currency in April and the impact of stagflation on European and American central banks.
From the data from January to February, the economy recovered slightly, and the probability of monetary easing in April is still high. Personally, I think it is in the form of excessive renewal of MLF or targeted investment rather than comprehensive RRR reduction. Therefore, there is still a weak rebound opportunity in the market in late March.
At the same time, Zhao Yuanyuan suggested that “short-term investors need to pay close attention to the progress of Russia Ukraine negotiations and respond flexibly.” She believes that the attitude of the European and American central banks towards the stagflation caused by the situation in Russia and Ukraine is more hawkish, and the heavy foreign-funded stocks are unfavorable in the medium term. The short-term impact of international hedge funds in and out of A-Shares is still the situation in Russia and Ukraine. Yesterday, the foreign ministers of Russia and Ukraine did not reach a ceasefire agreement, but were willing to continue the dialogue. The trade sanctions between Europe, America and Russia were still intensifying, and the A shares were slightly short.
Yuan Huaming said that from the recent downward market shock and today’s bad news, the market’s strong performance against the trend may give two judgments: first, the short-term market sentiment is still cautious and the upward momentum is not strong. Secondly, the market may have been near the bottom area. Unless the geographical conflict worsens than expected, there is little pressure for the market to continue to decline. In this context, if the geopolitical conflict becomes clearer in the next week or so, the A-share market is expected to complete the process of bottoming and usher in the configuration window period.
In addition, Yuan Huaming further pointed out that with the end of the two sessions, China’s economic resilience and countercyclical policy effect are expected to help the A-share market complete the bottom building process, and the allocation window period of the A-share market may be approaching at present, the uncertainty of geographical conflict and the negative impact of the market are still relatively large. It is a more appropriate investment strategy to see more and move less. It is easier to grasp the investment opportunities after the geographical conflict is relatively clear.
China International Capital Corporation Limited(601995) believes that although the short-term global fluctuations are contagious and it still takes time to repair the sentiment of the Chinese market, we judge that the Chinese market is expected to show relative resilience in the global fluctuations in the medium term. In the follow-up, it will be interpreted according to geographical events, epidemic situation and other factors, waiting for the Chinese market to enter the “emotional bottom”; As the steady growth policy continues to work, the “bottom of growth” is expected to be seen around the second quarter. From the perspective of sectors, the undervalued “steady growth” sector may have relative benefits, and the entry time of manufacturing growth style will wait for the marginal easing of “inflation expectation”.
