Category: Money Tips Date: 2006-07-12
Source: Kim Merrill Lynch Investment
1, Market Guide:
Shanghai stock market has emerged from the broader market Wednesday of this wave of higher energy prices and the biggest since the huge oscillations in a single day, the Shanghai Composite closed at 1589 points, fell 89 points, fell to 5.33 percent, turnover of 383 billion yuan, compared with yesterday's somewhat amplification.
Message level, the Bank of China Governor Zhou Xiaochuan said yesterday that "the central bank has no plans to further adjust the interest rate policy, because monetary policy has a certain time lag, pre-policy effect remains to be seen." This in fact means that nearly phase of the central bank would not raise interest rates, which run for the stock market provides a relaxed financial environment. Fan Fuchun, vice chairman of China Securities Regulatory Commission yesterday, "the first phase of a listed company chairman and general manager of training," stressed, "present time when all listed companies must report to initiate the most drastic manner, effectively lay the split share structure reform of listed companies and debt settlement of critical work to ensure that these two tasks must be completed during the year. He pointed out that this year, completed debt settlement, the regulators would let bygones be bygones, otherwise the chairman of a listed company and the responsible persons must bear the corresponding legal responsibility. "From that perspective out of management for the management of major shareholders of listed companies Taokong behavior is the real thing, which helps corporate governance structure of listed real improvement and performance improvement.
As the accelerating pace of initial public offerings, especially in the upcoming super-large capitalization stocks, funds short-term side effects of the market is being reflected, Shanghai stock market since the broader market appeared the same day that the largest since a wave of higher oscillation intraday panic sell-off comprehensive Pudie stocks, including several pre-or a large main section, such as aerospace industry, non-ferrous metals, new energy, automobile, etc. especially heavy selling pressure plate, even though indicators of shares of Sinopec, China Unicom signs of significant support the market, but because of short oncoming force is very fierce, down accounted for the vast majority of individual stocks, especially some of the great influence of popular confidence in the market shares dropped sharply on the market to do more to form an atmosphere of considerable suppression. In contrast, petrochemicals, real estate section is more resilient, while the overall concept stocks listed on the few bright spots has become a disk, G on the effect of making a profit in Hong Kong has the possibility of the Group's overall listing of the ports, airports and other large infrastructure stocks such as Wuhu Hong Kong, Sichuan Road & Bridge and other markets continued to be concerned about the trend is very tenacious. Closed-end funds under the following Feng Zhuankai rumors rose today following yesterday's strong performance once again, but on the other hand, it reflects the hot market is temporarily lost, short-term financial speculation turned to the embarrassment of the fund.
How do I see a substantial adjustment to wait for the present? On the one hand we have to recognize as the stock index at the bottom of Zhang Sheng from last year, nearly 60 percent since the rise more than the cumulative profit dish rich, the market has not been held in-depth pieces of callbacks, with callback finishing pressure; another After the IPO in the official gate opening, with the accelerated pace of issuance, especially in super-large-cap stocks will soon release the funds pulled out of the effects of short-term market is emerging, while the first lifting of the non-tradable shares into circulation the day has also been approached, What the impact on the market also need to observe how. In addition, the increased volatility around the stock market, in particular international non-ferrous metals futures markets, prices are likely to build top-oscillation, but also to make domestic resources stocks in particular, the fundamentals of non-ferrous metal stocks are faced with new factors that can not be determined. Nevertheless, we should see China's long-term economic development and the rapid appreciation of the yuan continued trend of long-term bullish for the stock market provides the macro background, and the realization of full circulation, compared with the bull market thus providing a guarantee. Therefore we are in a bull market should not doubt that, while the short-term adjustment is normal. The adjustment process, not only to digest the historical profitability of the process disk and some sort of relief plate, but also the reconfiguration of the main capital of the birth process and the new hot spot. With the revaluation of the end theme, the theme will focus on the future operation of the market and strategic mergers and acquisitions and restructuring, the overall market, independent innovation and other new themes. Although the markets some short-term emotional, but with the gradual return of the market rationality, will embark on a normal track.
Wednesday SSE rare tape huge oscillations occur, the cumulative earnings disc pressure and speed up the issuance of new shares on the surface of the short-term financial impact of being adopted by the broader market fell sharply so that the risk to be released. As the stock market long-term bullish fundamentals unchanged, while the short-term look at the support line 30 is still worthy of reliance. Afternoon is expected to tape oversold bounce.
2, the operation recommended that:
1, position: 60%
2, attention: cheap oversold stocks
3, hot Analysis:
How do I see a substantial adjustment to wait for the present? On the one hand we have to recognize as the stock index at the bottom of Zhang Sheng from last year, nearly 60 percent since the rise more than the cumulative profit dish rich, the market has not been held in-depth pieces of callbacks, with callback finishing pressure; another After the IPO in the official gate opening, with the accelerated pace of issuance, especially in super-large-cap stocks will soon release the funds pulled out of the effects of short-term market is emerging, while the first lifting of the non-tradable shares into circulation the day has also been approached, What the impact on the market also need to observe how. In addition, the increased volatility around the stock market, in particular international non-ferrous metals futures markets, prices are likely to build top-oscillation, but also to make domestic resources stocks in particular, the fundamentals of non-ferrous metal stocks are faced with new factors that can not be determined. Nevertheless, we should see China's long-term economic development and the rapid appreciation of the yuan continued trend of long-term bullish for the stock market provides the macro background, and the realization of full circulation, compared with the bull market thus providing a guarantee. Therefore we are in a bull market should not doubt that, while the short-term adjustment is normal. The adjustment process, not only to digest the historical profitability of the process disk and some sort of relief plate, but also the reconfiguration of the main capital of the birth process and the new hot spot. With the revaluation of the end theme, the theme will focus on the future operation of the market and strategic mergers and acquisitions and restructuring, the overall market, independent innovation and other new themes. Although the markets some short-term emotional, but with the gradual return of the market rationality, will embark on a normal track.
Fourth, stocks recommended:
G Nanshan (600,219): The company is the major aluminum producer, recently, a major shareholder in Nanshan Group plans to inject its alumina project in which, so that competitiveness and profitability is bound to be greatly enhanced. The company strongly involved in high-tech field, while mergers and acquisitions with a hazy subject. Secondary market, the stock was diluted share reform Tianquan Quotes have been out of the fast wave, and then come down substantially, the major funding quilt is currently supported by the gentle upward, out of the bottom of the market outlook is expected to substantially counter-market, can be great concern.
