Outlook:
The index continued to be weak on Tuesday, with the Shanghai index falling below 2900 points. In the morning, the three major indexes rebounded after opening slightly higher, and the index maintained the red market operation, but there was another wave of correction in the afternoon. Finally, the three major indexes fell, and the Shanghai index fell below the integer mark of 2900 points. Individual stock sectors fell more or less, beauty care, food and beverage, building decoration, building materials, medicine and biology and other sectors rose, while textile and clothing, national defense and military industry, coal, computer, non bank finance and other sectors fell ahead. In terms of market environment, when the RMB exchange rate depreciated continuously, the central bank decided to reduce the foreign exchange reserve ratio of financial institutions by 1 percentage point from the current 9% to 8% from May 15, in order to guide market expectations and release the signal of stabilizing the exchange rate. In addition, the general office of the State Council issued the opinions on further releasing consumption potential and promoting the sustainable recovery of consumption, which proposed to promote the financial system to transfer profits to the real economy through various measures such as reducing interest rates and fees. From a technical point of view, the three major indexes continued to fluctuate downward, and the Shanghai index fell below 2900 points. There is a slight net inflow of funds from the north, and the mood is still cautious. It is expected that the short-term market will continue to fluctuate repeatedly, waiting for the market to stabilize, paying attention to the capital flow and capacity changes in the north. In operation, it is suggested to focus on the layout of the middle line, and pay attention to the industries such as finance, real estate, building materials, steel, household appliances, food and beverage, electrical equipment and so on.
