Climb! On Monday (March 21), the three major A-share indexes rose after opening high, and plunged in the afternoon. The market once fell by about 0.7%, but it turned red at the close, and the transaction amount exceeded the trillion yuan mark. Individual stocks generally rose, and 29 pharmaceutical stocks collectively rose by the limit, which attracted much attention. What should A-Shares buy in the bottom grinding market? How to grasp market investment opportunities?
The A-share index rose on Monday. As of the close, the Shanghai Composite Index rose slightly by 0.08% to 325369 points, the Shenzhen Composite Index rose 0.41% to 1237964 points, and the gem index rose 0.46% to 272618 points; The total turnover of the two cities was 1015.2 billion yuan, and the net sale of funds from the North was 8.419 billion yuan.
In terms of individual stocks, on Monday, individual stocks in the A-share market generally rose, with a total of 3192 stocks rising. It is noteworthy that on Monday, 140 stocks closed at the daily limit, and only 3 stocks fell by the limit.
Trading limit of individual stocks on Monday (March 21): p align = “center” tabulation: Zhang Ying
It is noteworthy that the trading of Evergrande is temporarily suspended for the three major listed companies. On March 21, China Evergrande, Evergrande property and Evergrande automobile issued a short suspension notice. The three announcements show that the trading of all structured products related to the company will be temporarily suspended from 9:00 on March 21. At present, China Evergrande, Evergrande property and Evergrande automobile have not disclosed the reasons for the suspension.
For the trend of A-Shares after stabilizing and rebounding, institutions generally said that the A-share market has entered the bottom grinding stage.
CICC Securities believes that the A-share market has entered the bottom grinding stage. Although there are still repeated risks in the short term, there is no need to be overly pessimistic about the future performance of a shares. In the near future, the market may be in the bottom grinding period, the trading volume may shrink, and the stage similar to the sharp decline in the early stage may have ended. At present, we pay attention to three directions: 1 Potential support areas for policy development include infrastructure, real estate, stable demand related industrial chains (building materials, construction, household appliances, home furnishings, etc.), brokerage finance, etc; 2. For the middle and lower reaches consumption with more adjustments, low valuation and clear medium and long-term prospects in 2021, choose stocks from bottom to top, including household appliances, light industry and household appliances, automobiles and parts, agriculture, forestry, animal husbandry and fishery, medicine, etc; 3. The risk of manufacturing growth sector, including new energy vehicles, new energy and technology hardware semiconductors, has been released.
China Merchants Securities Co.Ltd(600999) said that after the current round of A-Shares bottomed out, it is suggested to focus on two directions: first, focusing on the steady growth of traditional infrastructure and the improvement of real estate investment, upstream resource products may benefit more from this round of steady growth, including nonferrous metals, building materials, petroleum and petrochemical; Second, focus on the steady growth of new infrastructure, such as photovoltaic, wind power, energy storage and hydrogen energy; Digital infrastructure, such as IDC, big data cloud computing, etc.
At the same time, funds, private placement and other institutions also expressed optimistic views on the future market. Zhao Yuanyuan, investment director of Jianhong times, said that the bottom of the current market in the medium term has been realized. As the next window period of monetary policy is mid April, the market will maintain strong shocks in the next three weeks.
Chen Jiecheng, manager of Fende capital fund, believes that China’s monetary policy environment has not changed, and financial stocks are currently undervalued. We judge that the uncertainty is eliminated and the undervalued sector is expected to perform better.
Yuan Huaming, general manager of Huahui Chuangfu investment, believes that in the short term, the A-share market is still in the process of bottoming. In the future, the market may usher in a time window for direction selection. The weakening of geopolitical conflicts and the continuous development of China’s counter cyclical policies may become positive driving factors to promote the market upward; However, if the geopolitical conflict intensifies further and China’s countercyclical policy is less than expected, the market will still have bottom pressure.
Hu Po, manager of Rongzhi investment fund under private placement paipai.com, believes that there may still be some game risks in the short-term market. The bottom of the market still needs a process of constantly running in and then finding the bottom, including that today’s LPR has not cut interest rates, so there may be some psychological disturbance to the market in the short term. In the long run, the cost performance of the overall investment has been very reasonable, which is a good time to look for opportunities to increase positions.
Hot spot 1: the seed industry sector soared by more than 7%, and 11 agricultural stocks rose by the limit
Agricultural stocks led the gains on Monday with strong performance. As of the closing, the sub sectors such as seed industry (7.15%), agriculture, forestry, animal husbandry and fishery (5.05%) and aquaculture (4.13%) rose one after another, with eye-catching performance.
In terms of stocks, there are 11 agricultural stocks that have 11 agricultural stocks with 11 agricultural stocks trading at the price limit, among which, Fujian Wanchen Biotechnology Co.Ltd(300972) individualstocks such as Xiwang Foodstuffs Co.Ltd(000639) , Hubei Wuchangyu Co.Ltd(600275) and so on also rose one after another.
For the seed industry sector, Huaxi Securities Co.Ltd(002926) said that under the catalysis of geopolitics, the Shenzhen Agricultural Products Group Co.Ltd(000061) prices rose in an all-round way, and the Shenzhen Agricultural Products Group Co.Ltd(000061) prices of soybean meal, wheat and other Shenzhen Agricultural Products Group Co.Ltd(000061) prices hit a 14 year high. The problem of food security became more prominent, which further stimulated the improvement of the landscape of the planting industry chain. The “new seed law” passed by China will be implemented from March 1, 2022, which is conducive to strengthening the protection of intellectual property rights in the seed industry and encouraging the innovation and breakthrough of breeding technology in the industry. The Department of agriculture and rural areas of Gansu Province recently issued a notice on the work plan for the supervision of agricultural genetically modified organisms in Gansu Province in 2022, which emphasizes preventing the proliferation of illegal genetically modified crops and promoting the healthy development of the research and application of agricultural genetically modified organisms. With the continuous improvement of industrial policies and the strict supervision of local governments, the application of biological breeding technology will be closer and closer. The relevant listed companies include Beijing Dabeinong Technology Group Co.Ltd(002385) , Yuan Longping High-Tech Agriculture Co.Ltd(000998) , Shandong Denghai Seeds Co.Ltd(002041) .
Hot spot 2: 29 pharmaceutical stocks rose by the limit in batches 6 Shanxi Fenghuo Electronics Co.Ltd(000561) 5 days, up more than 232%
On Monday, pharmaceutical stocks strengthened as a whole, among which the subdivided NMN concept sector performed the strongest, with an increase of 5.25%. In addition, covid-19 drugs (4.03%), APIs (3.55%), anticancer drugs (2.79%), vitamins (2.73%) and other sub sectors were also significantly active, leading the increase.
In terms of individual stocks, 29 pharmaceutical stocks rose in batches on Monday Hunan Er-Kang Pharmaceutical Co.Ltd(300267) \ , China Meheco Group Co.Ltd(600056) , Apeloa Pharmaceutical Co.Ltd(000739) , Shanghai Pharmaceuticals Holding Co.Ltd(601607) and other stocks also rose one after another.
It is noteworthy that China Meheco Group Co.Ltd(600056) has raised the limit for 11 times in 15 trading days since March, with a cumulative increase of 232.33% in the month. In March 20th, according to the official WeChat official account of China Meheco Group Co.Ltd(600056) , in March 19th, the first batch of COVID-19 virus treatment drugs PAXLOVID, which was co operated by China Meheco Group Co.Ltd(600056) and Pfizer, was transported to the Daxing logistics center of China Meheco Group Co.Ltd(600056) . All goods were closed to the whole process according to the import and export related epidemic prevention requirements, and the relevant work such as acceptance and warehousing had been completed.
In this regard, Harvest Fund said that under the current repeated epidemic situation, the state introduced the application scheme of antigen detection, taking antigen detection as the primary screening, so as to prepare for the control of the epidemic as soon as possible. Antigen detection reagents have been launched in the leading chain pharmacies one after another, which is expected to increase the revenue and gross profit of the leading pharmacies. However, the final contribution of short-term performance mainly depends on the quota, selling price and epidemic prevention policy; In the medium and long term, thickening passenger flow and increasing the service scope of pharmacies are the key, which depends on the detailed rules for the implementation of antigen testing and epidemic prevention policies. The performance flexibility of pharmacies in 2022 depends on whether the current and sales restriction measures of pharmacies can be relaxed.
