On April 25, the A-share market weakened. AXA Puyin Fund said that the A-share market is still at the bottom, and the bottom area is waiting for the repair market. When the inflection point of the epidemic and the signal of factory resumption appear, there will be a stabilization and rebound in the short term. At present, the valuation of A-Shares is in the bottom range, and the medium and long-term investment value has appeared.
AXA Puyin Fund said that the US dollar index rebounded, US bond yields continued to rise, inflation remained high, the market expectation of the accelerated pace of interest rate hike by the Federal Reserve warmed up again, funds poured into the US dollar to avoid risks, and overseas stock markets such as Europe, Japan and the United States fell sharply. Therefore, A-Shares are still suppressed in the short term and remain weak and volatile in the current range.
AXA Puyin Fund believes that the central bank's comprehensive RRR reduction, which fell on April 25, will release about 530 billion yuan of long-term funds, which is conducive to stabilizing market expectations, enhancing market participants' confidence, improving and expanding total demand, and creating positive conditions for stabilizing the macro-economic market and maintaining economic operation within a reasonable range. At the same time, recently, listed companies and institutional investors are also actively entering the market, and the medium and long-term allocation cost performance of the index is prominent. Although the current market is still at the bottom, there is no need to be overly pessimistic from a medium - and long-term perspective. With the end of the quarterly disclosure period, the landing of the Fed's interest rate hike and the weakening impact of the epidemic, the market is expected to usher in a repair market.
AXA Puyin Fund said that the main line of stable growth in infrastructure, real estate and consumption in the future is expected to recover synchronously with the weakening impact of the epidemic. In the boom track, the photovoltaic sector deserves special attention, and the module sub sector has comparative advantages.
