24 hours, from all green to all red!
On March 16, influenced by the meeting of the financial committee of the State Council to study the current situation and the special meeting held by the China Banking and Insurance Regulatory Commission to convey, study and implement the spirit of the meeting of the financial committee of the State Council, the real estate sector in the mainland and Hong Kong stock markets set off a strong rebound on the same day, in which the real estate sector in Hong Kong stocks rose 6.8% and the A-share real estate sector rose 3.2%.
Xinhua news agency also announced that recently, Xinhua News Agency reporters interviewed the relevant person in charge of the Ministry of Finance on the pilot issue of real estate tax reform. The relevant person in charge said that the pilot of real estate tax reform was carried out in accordance with the authorization of the Standing Committee of the National People’s Congress. Some cities have carried out investigation and preliminary research, but considering all aspects of the situation, they do not have the conditions to expand the pilot cities of real estate tax reform this year.
In addition, the daily economic news reporter learned exclusively from the insiders that the regulatory authorities are brewing measures to jointly crack down on short selling institutions. Driven by multiple benefits and the market, real estate stocks ushered in a long lost upward market.
The real estate sector rebounded across the board
On March 16, the financial stability and Development Commission of the State Council held a special meeting to study the current economic situation and capital market problems. The meeting was presided over by Liu He, member of the Political Bureau of the CPC Central Committee, vice premier of the State Council and director of the Finance Committee. It was mentioned that we should fully implement the spirit of the central economic work conference and the deployment of the two sessions of the country, coordinate epidemic prevention and control and economic and social development, keep the economic operation within a reasonable range and maintain the stable operation of the capital market. To effectively invigorate the economy in the first quarter, monetary policy should take the initiative to respond, and new loans should maintain moderate growth.
Affected by this, the real estate sector rebounded strongly this morning. As of the closing closing closing, the A-share market has been a close to the closing of the A-share market, with the Tsingtao Brewery Company Limited(600600) 77 185 rose by more than 6%, and China Merchants Shekou Industrial Zone Holdings Co.Ltd(001979) , Yango Group Co.Ltd(000671) , Gemdale Corporation(600383) , Metro Land Corporation Ltd(600683) rose by more than 4%.
In terms of H shares, Xuhui Yongsheng service rose by more than 26%, China Resources Vientiane life, Yincheng life service and Country Garden Service rose by more than 22%, Xuhui holding group rose by more than 23%, China Olympic Park, xinchengyue service and poly property rose by more than 20%, Longguang group rose by 19.55%, Zhongyuan construction industry rose by 22.5%, China Jinmao rose by 19.32%, and Zhonghai property and country garden rose by more than 16%P align = “center” source: China stock market news choice data
For the stock price performance in recent days, Lin Feng, President of Xuhui group, told the reporter of daily economic news that the real estate stocks had been excessively suppressed by short positions, and now they are repaired normally. In particular, Xuhui actually had no financial risk, and had been hard short before, so the market rebound range is in the first camp.
Another leading real estate enterprise Aoyuan told reporters that it was particularly grateful and welcomed the implementation of national guidance policies for the industry. Since the cold winter of the industry and the plight of liquidity funds, the management of the Olympic Park has never lay flat, so as to protect the interests of house buyers, do their best to protect the rights and interests of all investors, and practice the main responsibilities and commitments of the enterprise with practical actions.
According to its disclosure, the Olympic Park delivered 98 projects in 2021, with a year-on-year increase of 53%; The delivery area exceeded 7.8 million square meters, with a year-on-year increase of 35%. As of March 10, 165 projects were under construction in the Olympic Park, and 117 projects have resumed work and production one after another. Aoyuan actively communicates with government departments, financial institutions, partners and investors, actively formulates effective risk prevention and resolution solutions, and has confidence and plans to resolve current liquidity difficulties,
Yan Yuejin, research director of E-House Research Institute, said that the risk of real estate enterprises has not been cleared and still faces great pressure. Similar risks mainly include the debt risk of real estate enterprises, the obvious weak willingness of real estate enterprises to acquire land, the risk that the project is easy to fail, the risk that the sales data does not meet the expectations, etc. In the follow-up, relevant departments may also actively introduce policies for such risks, which is worthy of the expectation of the market.
In addition, supporting measures for the transformation of the new development model should be accelerated.
Yan Yuejin said that at present, real estate enterprises should actively move closer to the new development model and actively transform. All localities also need to actively introduce supporting policies, including industrial guidance, land finance, taxation and finance, so as to help promote real estate enterprises to move forward towards the new development model.
Yu Xiaoyu, research director of Yihan think tank, pointed out that the CBRC conveyed the spirit of the financial conference and strengthened cooperation with Hong Kong’s financial regulatory authorities, which is conducive to stabilizing the capital market and avoiding the impact of excessive foreign intervention.
All bad?
At the same time, people familiar with the matter disclosed to the reporter of the daily economic news that after receiving the news, the regulatory authorities are brewing measures to jointly crack down on short selling institutions and actively listen to the opinions of listed enterprises to resolve risks.
Zhang Bo, President of anjuke Real Estate Research Institute branch, told reporters that the fluctuation of real estate stocks is related to the whole market. For the capital market, the state will intervene and adjust accordingly, reduce unreasonable speculation and make the capital market more stable.
Previously, Zhang Ming, deputy director of the Institute of finance of the Chinese Academy of Social Sciences and deputy director of the national finance and development laboratory, pointed out that the background of this round of stock market decline is very complex. The core reason is not that the stock prices of Chinese listed companies are overvalued and contain large adjustment risks (different from 2015), but that they have encountered external geopolitical shocks China US game and malicious short selling by international investors. Under such circumstances, it is highly reasonable for the Chinese government to intervene appropriately to maintain the basic stability of the stock market and avoid the continuous decline of the stock marketP align = “center” real estate stocks fell across the board yesterday. Source: wind
Zhang Ming suggested that the government will no longer increase the industry regulation in the short term, and the appropriate deregulation of the real estate industry should be implemented as soon as possible to avoid the possible collective default of other real estate giants. The meeting also made it clear that with regard to real estate enterprises, we should timely study and put forward effective risk prevention and resolution solutions, and put forward supporting measures for the transformation to a new development model.
A top 20 real estate enterprise IR told reporters that from yesterday to today, the market reaction is still the embodiment of emotion. Yesterday’s decline was affected by sentiment, which cannot be explained at the technical level, while today’s rise in the real estate sector is driven by the market.
From the perspective of real estate, policies will be introduced to resolve risks one after another. From the perspective of the supply side, M & A loans are not included in the three red lines and other measures. The essence is to give credit to high-quality real estate enterprises, so that high-quality real estate enterprises can resolve debt risks and project risks through M & A of thunderbolt real estate enterprises. The demand side is also continuing to relax, the risks of the whole industry will be cleared one after another, and trust companies and asset management companies have entered one after another.
