In early trading today, the three major A-share indexes went out of the bottom and reversed the trend. The gem index once fell by 1.5% in early trading, and then rebounded rapidly driven by lithium battery, aquaculture, medical and other sectors.
As of midday closing, the Shanghai Composite Index closed at 3588.40 points, up 0.25%; Shenzhen composite index reported 14416.22 points, up 0.51%; Gem index reported 3106.16 points, up 0.30%.
Hong Kong stock market also showed a reversal trend in the early market, the Hang Seng Index of the early decline increased more than 2%, and Kwai, Ali health, Jingdong health and other gains were around 10%.
the aquaculture sector continued to rise
Wens Foodstuff Group Co.Ltd(300498) rose 60% in four months
Although the index fluctuation has increased recently, the breeding sector has always maintained a stable upward trend and has become one of the strongest main lines in the market in recent stages.
In early trading today, aquaculture stocks continued to strengthen, and Shenwan aquaculture index rose 4.6% for half a day. As the leader of the current round of aquaculture sector, the former “first brother of gem” Wens Foodstuff Group Co.Ltd(300498) rose 5.41% in early trading and more than 60% in the past four months.
It is noteworthy that in the general impression of investors, the trend of breeding stocks such as muyuan and Wen’s is basically consistent with the price of pigs. Both the rise started in 2019 and the decline last year are inseparable from the fluctuation of pig prices.
However, from the recent situation, although the breeding sector shows an upward trend as a whole, Wens Foodstuff Group Co.Ltd(300498) has increased by more than 60% in the short term, the pig price has not increased significantly during this period.
According to the monitoring of business society, the price of pigs in China continued to be weak last week, with an average price of 16.20 yuan / kg at the beginning of the week and 15.68 yuan / kg at the weekend, down 3.21% during the week. Since early December, the price of live pigs has dropped from the level of 18 yuan / kg, and has retreated by more than 10%.
China’s pig price trend source: Business Society
For the recent short-term deviation between the stock price of breeding stocks and the price of pigs, Tianfeng Securities Co.Ltd(601162) analysis shows that the short-term pig price presents a long and short game, which is expected to fluctuate until the Spring Festival. Among them, strong demand is one of the factors that may not lead to a sharp decline in pig prices in the short term. Winter is the traditional production period of bacon and sausage, so the demand for pork will be higher than that in other seasons, which may drive the upward price of pigs.
Tianfeng Securities Co.Ltd(601162) said that in the medium and long term, the bottom of pig price has been realized, and it is expected to reverse in mid-2022. The overall loss of the pig industry in the early stage has brought about the obvious de industrialization of production capacity, and the de industrialization trend has been determined. Even if the pig price increases so high from mid to late October to November 2021, the de industrialization range of the industry can still reach 1.2%, which reflects that the de industrialization trend within the industry has been determined.
track stocks such as lithium battery and cro rebounded
In early trading today, the “track stocks” that suffered a sharp retreat last week began to stabilize and recover, among which the lithium battery and cro sectors gained significantly.
As of noon closing, the wind salt lake lithium extraction index rose 2.82%, Tibet Urban Development And Investment Co.Ltd(600773) closed the limit, Tibet Mineral Development Co.Ltd(000762) , Tibet Summit Resources Co.Ltd(600338) rose more than 4%. The downstream lithium battery leader Contemporary Amperex Technology Co.Limited(300750) bottomed out in the morning and rose 0.59% in the half day.
The cro sector also rebounded rapidly. The cro index released by wind rose 3.17% in half a day, Shanghai Haoyuan Chemexpress Co.Ltd(688131) , Porton Pharma Solutions Ltd(300363) , Boji Medical Technology Co.Ltd(300404) rose more than 4%, and Wuxi Apptec Co.Ltd(603259) rose 3.12%.
Chen Guo, chief strategist of China Securities Co.Ltd(601066) believes that the recent market weakness, in addition to the short-term liquidity disturbance, mainly comes from two internal and external factors: the internal cause is the fragile market structure caused by valuation differentiation, and the external cause is the global liquidity tightening expectation caused by the rapid jump in the real yield of US Treasury bonds. With the improvement of capital disturbance and the convergence of valuation differentiation caused by high-low switching, overseas bad may become the next focus of the market.
Chen Guo stressed that for track stocks, overvaluation and fear of high capital are not the main factors determining the final downward inflection point of the stock price, and the determinant of the downward inflection point of track stocks is the confirmation of the downturn. At the present stage, the disturbance of emotional factors to track stocks is greater than the substantive impact.
future strategy
Eight major brokerage theme strategies: a new round of cycle reversal! Grasp the golden allocation period of pig breeding sector in the first quarter
Free research report selection: A-share abstinence? Keen on “taking medicine” market! Analysis of traditional Chinese medicine, vaccine and Helicobacter pylori
Covid-19 detection concept is hot! An Xu biological 20cm trading limit Zhejiang Orient Gene Biotech Co.Ltd(688298) reached a new high, but the “eye grass” fell! What’s going on?
(source: Shanghai Securities News)
