Category: Money tips Release Date: 2006-03-24
Yesterday, the re-emergence of Shanghai and Shenzhen stock markets volatility, transaction volume of close to-day records, showing stock index after the continued surge in pre-market differences are gradually increasing. The Shanghai Composite Index stood a high of 4100 points, how risk-averse investors have become forced to face. In fact, there are still a considerable portion of the market performance of an excellent standard of valuation more reasonable species as a defense of choice.
Statistics show that, GICS two industry index rose nearly 10 trading days for the No. 1 health-care equipment and services industry, real estate, consumer durables and clothing, household and personal products, pharmaceuticals, retail and other industries followed by rank 2 to 6.
Business section of which can be described as the most representative. This week, the once relatively isolated commercial plates began to be seen: May 21, Hualian rose 7.99 percent mechanized super, May 23, Commodity City, once daily limit.
As early as in the commercial unit is started, the China International Capital Corporation in a research report that the current high big city in the interim, it should be good to invest in growth, and through long-term sustainable growth in recent years, efforts to lay a solid foundation, pre-or little price-earnings ratio is still low variety. Anti-systematic risk of these companies and share-price increase of space will be higher than other companies. On the other hand, QDII launch, but also for the valuation of the two cities to lay the foundation for comparison and convergence, so select the Hong Kong stock A share in the more scarce large national supermarket chains, high-end department stores, high-growth companies in furniture, it should be can bring good returns.
Underestimate the value of a number of other recent industry is also increasingly becoming defensive analysts frequently recommended varieties. Everbright Securities pointed out that in the current market circumstances, the relatively low valuation of the coal industry, may become market allocation of varieties, leading to coal-like rise in stock prices of listed companies.
The Shenyin published a comparative analysis of the industry report in May claimed that the recent bullish focus on coal, cars, road and bridge, four water industry. The common feature of these four industries is the industry's fundamentals are there beyond the expectations of the new story, and a valuable opportunity for reassessment.
