Key investment points:
Li Keqiang presided over the national standing committee meeting to determine the policy arrangement of 1.5 trillion tax rebate
According to CCTV news, the executive meeting of the State Council deployed comprehensive measures to stabilize market expectations and maintain the steady and healthy development of the capital market. The meeting listened to the report of the financial commission of the State Council and pointed out that we should attach great importance to the impact of changes in the international situation on China's capital market.
First, strengthen the support of prudent monetary policy to the real economy, adhere to not engaging in "flood irrigation", and use monetary policy tools to maintain the moderate growth of social financing. Second, maintain policy stability. In recent years, policies to stabilize the economy and stimulate vitality should be continued as far as possible to prevent the introduction of policies that are not conducive to market expectations. Third, in accordance with the principles of marketization, rule of law and internationalization, we should properly handle the problems in the operation of the capital market and create a stable, transparent and predictable market environment. Fourth, closely follow the situation outside China and take targeted measures to boost market confidence. Fifth, stabilize foreign trade and foreign investment, and maintain the basic stability of the RMB exchange rate and the basic balance of international payments.
The meeting decided to implement the policy arrangement of 1.5 trillion value-added tax rebate. Mentioned: first, the tax rebate for small and micro enterprises in all industries and individual industrial and commercial households paying taxes according to the general tax calculation method is nearly 1 trillion yuan. The second is to retain tax credits for the stock of enterprises in six industries, including manufacturing. Third, the central government will allocate another 1.2 trillion yuan of transfer payment funds to ensure people's livelihood on the basis of paying 50% of the tax rebate funds according to the current tax system.
Overall, the national standing committee will deploy comprehensive measures to stabilize market expectations and determine the policy arrangements for the implementation of the 1.5 trillion value-added tax rebate. According to the website of the Chinese government, in 2020, China's annual new tax cuts and fee reductions exceeded 2.5 trillion yuan; In 2021, about 1.1 trillion yuan of new tax cuts and fees were added. In 2022, it is estimated that about 1 trillion yuan of tax cuts and rebates, plus 1.5 trillion yuan of tax rebates, will add up to about 2.5 trillion yuan, which will be substantially beneficial to real enterprises and help stabilize the macro-economic Market.
President Xi Jinping gave important instructions on China Eastern Airlines passenger plane crash
On March 21, 2022, a Boeing 737 of China Eastern Airlines Yunnan Co., Ltd. lost contact over Wuzhou, Guangxi. At present, the plane crash has been confirmed, and the cause of the crash is still under investigation. According to China Central Television News, president Xi Jinping gave important instructions on the crash of China Eastern Airlines passenger plane and was shocked to learn that China Eastern Airlines flight mu5735 crashed. It is necessary to immediately start the emergency mechanism, fully organize search and rescue and properly deal with the aftermath. The State Council appointed leading comrades to coordinate and deal with the accident as soon as possible, find out the causes of the accident, draw inferences from one instance, strengthen the investigation of potential safety hazards in the field of civil aviation, pay close attention to the implementation of responsibilities, and ensure the absolute safety of aviation operation and the absolute safety of people's lives.
LPR stood still in March
On March 21, the national interbank lending center authorized by the people's Bank of China announced the quoted interest rate (LPR) of the loan market in March. The data showed that the one-year LPR and the five-year LPR were the same as the previous month, 3.70% and 4.60% respectively. Looking back on March 15, the central bank continued to make MLF at parity, and the quotation remained unchanged, which pointed to the high probability of LPR this month or remained stable. The social finance data in February was lower than the market expectation, indicating that the financing demand of the real economy is still weak, and there is still some pressure on the subsequent steady growth. In the future, the reduction of reserve requirements and interest rates is still in the monetary policy toolbox of the central bank.
Financing funds
On March 18, the balance of A-share financing was 1586723 billion yuan, a month on month decrease of 7.085 billion yuan; The balance of margin trading was 1679321 billion yuan, a decrease of 6.903 billion yuan month on month. The balance of financing minus securities lending was 1494124 billion yuan, a month on month decrease of 7.268 billion yuan.
