Market Overview
On Friday, March 18, 2022, as of the closing, the Shanghai Composite Index fell 1.77% to close at 325107 points, the Shenzhen composite index fell 0.95% and the gem index rose 1.81%.
Sichuan caizhou viewpoint
Recently, the negative impact of the external environment has slowed down, China’s benefits have continued, and the market is expected to enter the bottom grinding period, which is reflected in several aspects: 1. The price of bulk commodities has fallen, and the global stock market has improved; 2. The Fed raised interest rates by 25 basis points, in line with expectations; 3. The continuous outflow of funds from the North ended, with a net inflow of 5.365 billion yuan on the 17th and 8.457 billion yuan on the 18th in the last two trading days of this week, and the market liquidity recovered; 4. On March 16, the financial stability and Development Commission of the State Council held a special meeting. The meeting emphasized the positive introduction of market-friendly policies and prudent introduction of contractionary policies, which boosted market confidence; 5. Since April 2022, the payment proportion of the minimum settlement provision for stock business will be reduced from 18% to 16%, and part of the registration and settlement fees will be reduced, which is equivalent to the disguised “standard reduction” of the securities industry.
From January to February, the growth rate of infrastructure investment accelerated and achieved a good start. With the continuous effectiveness of the national policy of stable growth and stable investment, the investment in the next stage is expected to maintain a good growth trend. It is expected that the growth rate of infrastructure construction in the first half of the year is expected to continue to maintain a high level, providing effective support for the stable growth of macro-economy. According to the investment data from January to February released by the National Bureau of statistics, infrastructure investment increased by 8.1% year-on-year, 7.7 percentage points faster than the whole year of 2021, the number of new projects invested increased by 1.1 times year-on-year, the planned total investment of new projects increased by 62.8%, the national budget funds increased by 33.9%, and the self raised funds increased by 13.2%.
Investment suggestions: three main logical lines can be focused on specific investment opportunities: 1. Stable growth sectors such as macro policy support and traditional infrastructure less affected by external environmental risks; 2. The boom track closely related to dual carbon and with good growth, such as new infrastructure sectors such as wind power and photovoltaic; 3. In the later stage, the policy is expected to become loose, such as real estate.
Industry dynamics
Recently, the Beijing Municipal Development and Reform Commission held a financing docking meeting for major projects in the urban sub center. In 2022, there are 33 financing needs for major engineering action plan projects of urban sub center and key projects outside the action plan, and the recent financing needs are about 33.1 billion yuan. Among them, there are 17 major engineering action plan projects, with a short-term financing demand of about 27.3 billion yuan, including 14 implementation projects, with a short-term financing demand of about 25.8 billion yuan; There are 3 key reserve projects, and the recent financing demand is about 1.5 billion yuan. (Beijing News)
Industry dynamics
Beijing Oriental Yuhong Waterproof Technology Co.Ltd(002271) ( Beijing Oriental Yuhong Waterproof Technology Co.Ltd(002271) ): the company signed the project investment agreement with the people’s Government of Xingning District, Nanning, which stipulates that the company plans to invest 600 million yuan to invest in the construction of Beijing Oriental Yuhong Waterproof Technology Co.Ltd(002271) Nanning green new material production base project in Xingning District, Nanning, Guangxi. The construction content is to promote product R & D and production projects including but not limited to waterproof, energy-saving and thermal insulation materials, civil building materials, building coatings, etc.
Risk warning: government expenditure is less than expected; The price rise of raw materials exceeded expectations; The scope of the conflict between Ukraine and Russia has expanded.
