The central bank released the RRR reduction plan, which is expected to release 530 billion long-term funds, in order to promote the reduction of social comprehensive financing costs through the transmission of financial institutions. The reduction is a comprehensive reduction. Except for some corporate financial institutions that have implemented the deposit reserve ratio of 5%, the deposit reserve ratio is generally reduced by 0.25 percentage points for other financial institutions. For urban commercial banks without inter provincial operation and rural commercial banks with a deposit reserve ratio higher than 5%, on the basis of reducing the deposit reserve ratio by 0.25 percentage points, an additional 0.25 percentage points will be reduced, which will help to increase support for small and micro enterprises and “agriculture, rural areas and farmers”.
The central bank clearly adheres to the principle of “stability first, seeking progress in stability”, implements a prudent monetary policy and resolutely does not engage in flood irrigation. Although the RRR reduction is not strong, it can also stimulate market vitality and support the financing of key areas and weak links under the condition of reasonable and abundant liquidity. Recently, the approval scale of the national development and Reform Commission has been significantly increased, which is good for both the capital side and the demand side, and the logic of infrastructure recovery continues to be verified.
Investment suggestion: under the background of “steady growth”, central construction enterprises and high-quality state-owned enterprises have strong risk resistance and abundant demand. Although some areas may be affected by the epidemic in the short term, the project progress is slow, but the recovery trend of the whole year is clear.
Investment opportunities for seismic mitigation and isolation under high-quality development: long-term efforts for disaster prevention and reduction have been made, legislation has been passed, and 20-30 times of space can be expected. Relevant targets such as leading seismic mitigation and isolation Quakesafe Technologies Co.Ltd(300767) , Zhejiang Tiantie Industry Co.Ltd(300587)
The rail transit sector of “transportation power” has benefited for a long time: there is a broad demand for the construction of “Urban Agglomeration” on the track, such as Zhejiang Tiantie Industry Co.Ltd(300587) , China Railway Group Limited(601390) , China Railway Construction Corporation Limited(601186) ;
Under the expectation of the improvement of China’s infrastructure investment margin in the second half of the year, it is suggested to pay attention to the opportunities related to the industrial chain: pay attention to the undervalued targets China State Construction Engineering Corporation Limited(601668) , China Railway Construction Corporation Limited(601186) , China Railway Group Limited(601390) ;
Leading infrastructure enterprises with steady main business and mineral resources: Metallurgical Corporation Of China Ltd(601618) , China Railway Group Limited(601390) ;
Under the background of dual control of energy consumption, high-quality targets in green power, BIPV and other related fields: Sinosteel Engineering & Technology Co.Ltd(000928) , Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) , Sinoma International Engineering Co.Ltd(600970) .
