Category: Money tips Release Date: 2006-10-19
Poor performance of listed companies and market hot spots is expected to subside two factors have led to a slight sign of trouble appeared indexes fell
Last week, once the A-share market this week, struggling to finally show signs of weakness yesterday, the Shanghai Composite fell 19.25 points, closing at 1121.92 points, not only to fall to below the pre-order platform, and hit its lowest close since the current round Quotes point position. I believe that poor performance of listed companies and markets difficult to sustain is to keep the broader market hot culprit, the market in the short-term trends are not encouraging.
Down the dual pressure index From the disk, the market's short indeed continued to gather momentum. First, the poor performance of listed companies has seriously affected the funds and other institutional investors, investment confidence, especially in steel companies, the past two years of profit growth reduced to a big surprise, one after another big decline in profit, such as the G Shaoguan Iron & Steel released performance will drop 50% of the warning notice, making iron and steel stocks a variety of recent major market short. The steel industry is one of the pillar industries in the economy, the weak performance of such a nature to strengthen investor expectations of economic growth is slowing down, but also enlarge the market short momentum.
Second, the recent hot market, there are signs of subsiding. From the disk of view, pre-market has been able to once strong, mainly due to market hot spots come and go, stock reform concept stocks take a rest, flew there will be aerospace, railway equipment, power equipment and energy-saving industries, and many other popular varieties, gathered sentiment. But this week, these plates are no longer active, a disruption in the market hot spots, allowing stock to lose flexibility, a slight sign of trouble appeared in fall.
Weak fourth quarter is difficult to reverse the habitual From the A-share market over the years the development process point of view, the more tragic trend in the fourth quarter of strong, A-share market by the end of a certain trend of poor laws. The reason why there is such a law, and the fourth quarter and annual financial results of surface tension is expected to overlay a variety of factors such as the poor.
The fourth quarter of this year the pressure on A-share market as in previous years, three quarterly performance unsatisfactory, iron and steel stocks also generally run on the downward path. Financing is extremely heavy surface pressure, companies are repatriating their capital before the end of the pressure, in order to maintain normal production and operation, enterprises need capital from the secondary market, pulled out. In this context, even if there are stock reform of the price with the right support, but also an irresistible trend of the fourth quarter of tragedy being played out again.
Of course, this year's fourth quarter is rather special, as investors expect the A shares will be reduced with the right to decline while the share price slump due to the performance space. Moreover, the Bank of the Department of the Fund after another "landing" can to some extent alleviate the financial pressure.
Fourth-quarter operating strategy: Qingcang looking for opportunities Quotes in the fourth quarter of this year will not optimistic, but this period in turn usher in "Eleventh Five-Year Plan" to bring all kinds of industrial opportunities, the Fund had transferred warehouse for strategic needs, most likely in the fourth quarter of stocks in certain industries for Opening, so opportunities may still exist. In my opinion, having a whole to the light of the circumstances, investors should be Qingcang, but also concerned about the fund local Jiancang opportunities.
In the operation, on the one hand to grasp the identity of the subject shares of short-term market, such as the recent vaccine-related stocks, of which Kim Group, in animal husbandry and shares, Sea King bio stocks cause for concern. But can not go on fighting, once adjustments tendency to stop in good time to prepare. On the other hand, you can transfer the fund's positions ideas, and fund one pairs of part of the Opening of strategic industries, such as the aerospace concept of XAC International, rocket stocks, etc.; energy-saving industrial stock Confidence electrical, optical, etc. Linkage; special equipment industry Northern venture, Shenyang Machine Tool and so on.
