The central bank cut the MLF interest rate by 10 basis points. In early trading, covid-19 treatment station topped the list of sector gains.
China’s per capita GDP exceeds the world’s per capita level
According to the data released by the National Bureau of statistics, in 2021, China’s total economy reached 114367 billion yuan , with a year-on-year increase of 8.1% at constant prices and an average increase of 5.1% in two years . In 2021, despite the impact of epidemic situation, flood and other factors and the triple pressure of shrinking demand, supply impact and weakening expectation, China’s economy showed strong resilience and made a good start in the 14th five year plan.
Ning Jizhen, deputy director of the national development and Reform Commission and director of the National Bureau of statistics, recently publicly said that China’s GDP will exceed 100 trillion yuan for the second consecutive year in 2021, and its proportion in the world will further rise. The per capita GDP will exceed 10000 US dollars for the third consecutive year – the per capita GDP exceeds 80000 yuan, which is about 1255100 US dollars, which has exceeded the world per capita GDP level.
Ning Jizhe said that on the whole, China’s economy will continue to recover steadily in 2021, economic development and epidemic prevention and control will remain a global leader, and the main indicators will achieve the expected goals.
the central bank cut MLF and reverse repo interest rates by 10 basis points
On January 17, the people’s Bank of China announced that in order to maintain the reasonable and abundant liquidity of the banking system, the people’s Bank of China carried out RMB 700 billion medium-term lending facility (MLF) operation and RMB 100 billion open market reverse repurchase operation on January 17, 2022. The bid winning interest rates of medium term lending facility (MLF) operation and open market reverse repurchase operation decreased by 10 basis points to 2.85% and 2.1% respectively. This is the first time that the central bank has lowered the policy interest rate since April 2020, just one month from the RRR reduction in December 2021.
Market participants pointed out that the implementation of the policy interest rate cut means an increase in the countercyclical regulation of monetary policy. At present, the downward pressure on the economy is still large, which needs to be taken care of by countercyclical policies. Cutting interest rates is conducive to enhancing the supply capacity and willingness of bank credit and reducing the financing cost of enterprises. The interest rate cut will effectively hedge the current pressure on economic development and stabilize the macro-economic market.
Historical data show that in the past 20 years, the rising index rose 17 times in the first 10 days of the festival, with a winning rate of 85%. Lowering the policy interest rate before the festival is conducive to ensuring the smooth flow of funds and benefiting the A-share market.
explosive growth of covid-19 cases worldwide
Last weekend, covid-19 epidemic still occupied the headlines of major financial media. According to the data of the Health Commission, there are at least 9 local cases of Omicron in China, including Guangzhou, Anyang, Tianjin, Dalian, Zhongshan, Zhuhai, Shanghai, Beijing and Shenzhen.
Covid-19 epidemic has shown explosive growth overseas. Since January 7, the number of new cases in a single day in India has risen to 100000 again, and 271200 cases were added on January 16, the highest level in a single day since May 20 last year. More than 450000 new cases were added in a single day in the United States for nearly a month and a half, which fell sharply on January 16, but still exceeded 330000 cases; From January 11 to 15 in France, the number of new cases in a single day exceeded 300000 in a row; Japan has experienced an increase of 20000 cases for three consecutive days since January 14.
Many national leaders or officials were infected. Poland and Mauritania were recently infected with covid-19 virus. Mexican President Lopez announced that he was infected with covid-19 virus again, which is also his second infection since he was infected with covid-19 virus in January 2021. In addition, Israeli Foreign Minister Lapid covid-19 virus test results were positive; Indian defense minister rajnat Singh, Karnataka chief minister basavaraj Bomai and Bihar chief minister Kumar were confirmed to be infected with covid-19 virus.
covid-19 treatment sector rose the first in early trading
Stimulated by the good economic data, the A-share market index rose slightly from the sluggish opening. In the morning trading on January 17, covid-19 treatment station led the list of . Except for Aba Chemicals Corporation(300261) suspension, all other listed companies rose, Xinxiang Tuoxin Pharmaceutical Co.Ltd(301089) , Staidson(Beijing) Biopharmaceuticals Co.Ltd(300204) , Hybio Pharmaceutical Co.Ltd(300199) “20cm” limit.
At the same time, covid-19 detection and biological vaccine sectors weakened and both fell. Among them, covid-19 test sector led the decline, and the decline of Hangzhou Biotest Biotech Co.Ltd(688767) , Jiangsu Bioperfectus Technologies Co.Ltd(688399) , Guangzhou Wondfo Biotech Co.Ltd(300482) in the sector exceeded 7%; The Tibet Rhodiola Pharmaceutical Holding Company(600211) of the biological vaccine sector once fell by the limit.
From the perspective of affiliated enterprises and subdivided industries, there are 8 A-share listed companies involving Pfizer line. Except for the Aba Chemicals Corporation(300261) suspension, the other 7 shares increased by an average of nearly 9% this morning, involving the intermediates of synthetic PF, carbonic anhydride, ritonavir and cdmo line. The companies involved in the synthesis of PF intermediate carbonic anhydride include Aba Chemicals Corporation(300261) , Zhejiang Jianfeng Group Co.Ltd(600668) , Phichem Corporation(300398) , Aba Chemicals Corporation(300261) , which announced last year that the production capacity of carbonic anhydride is 20 tons per month, and it is also the only medical grade producer in China. Merck line listed companies rose by more than 10% on average.
institutional capital of RMB 1.1 billion net purchase of covid-19 specific drug stocks
According to the statistics of data treasure, from the upstream and downstream of covid-19 treatment, 10 shares involving covid-19 specific drugs increased by more than 10% on average, the total net inflow of institutional funds exceeded 1.1 billion yuan , and 2 shares in the pharmaceutical auxiliary sector increased by more than 4% on average. Honz Pharmaceutical Co.Ltd(300086) was sold by nearly 7 million institutional funds, and the rest were net inflows to varying degrees.
In terms of performance, by the end of the third quarter of 2021, Fujian Cosunter Pharmaceutical Co.Ltd(300436) , Staidson(Beijing) Biopharmaceuticals Co.Ltd(300204) and other five shares had losses to varying degrees, and the net profits of Yabao Pharmaceutical Group Co.Ltd(600351) , Zhejiang Ausun Pharmaceutical Co.Ltd(603229) , Nanjing Well Pharmaceutical Group Co.Ltd(603351) and other shares exceeded RMB 50 million.
The agency predicts that the net profit of Shanghai Junshi Biosciences Co.Ltd(688180) is expected to double in 2021, and the net profit of Zhejiang Ausun Pharmaceutical Co.Ltd(603229) may increase by nearly 80%. Among them, Shanghai Junshi Biosciences Co.Ltd(688180) covid-19 oral drug vv116 was approved for emergency use in Uzbekistan. Honz Pharmaceutical Co.Ltd(300086) establish the quantitative pharmacological model of suramin sodium. Suramin is a non nucleoside inhibitor, which can effectively inhibit the RNA polymerase (RdRp) of covid-19 virus. As of the end of the third quarter, the company had a small loss in net profit.
