Key investment points:
Financial Highlights
1. More than 80% of the annual performance of A-share companies is expected.
2. The national inter provincial joint procurement of traditional Chinese medicine (materials) was launched.
3. The performance of rare earth permanent magnet generally increases in advance. The industry: the price of rare earth is expected to stabilize at a high level.
4. The total financing of real estate enterprises hit a new low in five years, with a sharp year-on-year decrease of 26%.
5. The guidance on smart water conservancy construction was released, and the relevant concept stocks moved at the news.
A-share market overview
On Friday (January 7), the A-share market soared and was blocked, with a slight shock. Boosted by the rise of Hong Kong’s Hang Seng Index, the stock indexes of the two cities jumped high in the morning, and the banking, insurance and real estate chains rose in turn, driving the stock index to rise steadily. The Shanghai index encountered resistance near 3605. In the afternoon, it fell with the shock of new energy, games, electricity and other popular industries, Dragged down the stock index level by level, and the Shanghai index basically fluctuated around 3590 points in a narrow range throughout the day. The GEM market fluctuated downward on Friday, and the performance of the component index throughout the day was significantly weaker than that of the main board market.
Future research and investment suggestions
On Friday, the A-share market soared and was blocked, and the Hong Kong Hang Seng index rebounded strongly, which boosted the stock indexes of the two cities to jump high in the morning. Traditional blue chips such as banking, insurance and real estate chain rose in turn, driving the stock index to rise slightly. In the afternoon, new energy, photovoltaic, games and wine making industries fell again, dragging the stock index down in shock step by step, The Shanghai index continued to show the operation characteristics of narrow fluctuations throughout the day. After the festival, the characteristics of institutional position adjustment are more obvious. The hot industries such as new energy and photovoltaic with large increase in the early stage continue to decline. Since last year, the fully adjusted undervalued traditional blue chips have won the favor of the market again, and the market style may face conversion.
It is expected that the Shanghai index is more likely to fluctuate slightly in the short term, and the GEM market is more likely to continue to seek support in the short term. We suggest that investors focus on investment opportunities in engineering construction, cement building materials and household appliances in the short term, and continue to focus on investment opportunities in undervalued blue chips in the middle line.
Risk tip: policy risk, economic downturn.
(source: Central China Securities Co.Ltd(601375) )
