Category: Money Tips Date: 2007-05-03
Source: Ling Xue-wen Guangzhou Bandung
Abstract: by the recent national financial work conference concluded the spirit of encouraging broader market opened higher Monday Shanghai and Shenzhen High-away to start a strong upside of the stock market, the two cities once again refresh Quotes index records and hit 158.341 billion the amount of the transaction day. The disk from the recent performance, with the notice and disclosure of annual performance of the work progressed, however, around the annual performance will start to gradually warming hype Quotes. Based on historical experience, performance in the annual report notice and disclosure stage, the performance factors on the price movements tend to have a significant impact, and even the formation of a typical annual performance of Quotes. Sustained and rapid development in the national economy, tradable institution-building, capital market reform, liquidity ample and appreciation of the RMB against the backdrop of the 2006 Annual Report Quotes will be the emergence of new features. Market is based on a strong run in recent phase of the pattern under the investors the opportunity to report from the four main line properly.
Today's market conditions
By the recent national financial work conference held in the spirit of encouraging broader market showed a higher open Monday Shanghai and Shenzhen High-away, a strong upward trend, the two cities a comprehensive broad based, individual stocks, stock indexes have hit a new high Quotes, total turnover of 158.341 billion, again a new record. Index runs from the day the trend point of view, early on in order to 2857.90 points, the Shanghai Composite Index opened higher, in the weight index stocks, consumption and consumer to upgrade plate, asset restructuring and injection of hot spots such as shocks, driven all the way upside, and a smooth break 2900 points mark, the highest in shouting distance of 2934.65 points to close at 2933.19 points, and leave gapped upward gap. Shen Chengzhi trend similar to the corresponding rendering high-opened high walk posture, strong operating characteristic is very obvious.
From the disk situation, stocks a comprehensive broad based, according to close data show that the two cities just 25 stocks fell, while the daily limit of stocks more than 170 (including ST stocks included). From the major gainers of view, consumption and consumer services stocks may continue to have outstanding performance, such as the financial services sector, the Bank of China, China Life Insurance, etc.; plates Gree Electric Appliances, crown-fu home, the U.S. electrical appliances, etc.; Media network, electronic information Gehua, copper peaks electronics, radio and television networks, Hangzhou Silan Microelectronics, New World, etc.; car plate FAW, FAW Xiali, JAC automobiles. In addition, supported by the state industrial policy, energy-saving environmental protection, new energy and new materials stocks may have also sought after by the market, such as Shuangliang shares, Anhui BBCA Biochemical Co., Zhong Ke San Huan, Li promise the sun, three love rich, Nanning Sugar and so on. In addition, merger and reorganization of assets, asset injection with the overall theme listed stocks continue to be strong, such as shares Neusoft, China's heavy truck, Tianjin Port and so on. Construction machinery, equipment manufacturing, such as stocks may Liugong, Zoomlion, XJ Electric and so on.
Monday, the Shanghai Composite Index opened to 2857.90 points, up 2934.65 points, the lowest 2857.90 points to close at 2933.19 points, up 100.98 points, or 3.57%, turnover of 104.885 billion; Shen Chengzhi opened 8156.76 points, up 8357.41 points, the lowest 8145.79 points, close of 8343.07 points, up 277.76 points, or 3.44% on turnover of 53.485 billion.
In news today
Monday mainly in the following several news worthy of investor attention:
1, the National Financial Work Conference January 19 to 20 in Beijing. The meeting's main task is to sum up the financial work in recent years to analyze the current financial situation, unify their thinking, the full deployment of a period of financial work in the future. Present and future, a period of financial reform and development should focus their efforts on six tasks: continue to deepen the reform of state-owned banks to speed up construction of a modern banking system. To speed up rural financial reform and development, improve the rural financial system. Vigorously develop the capital market and insurance markets, to build multi-layer financial market system. Full scope of financial services and regulatory functions, promoting economic and social development. To actively and steadily push forward opening-up the financial industry. Make efforts to improve the financial sector and opening up structure and steadily opening up the capital market. Improve the financial supervision capacity, strengthening the internal management of financial enterprises to safeguard financial stability and security.
2, Shang Fulin, the national work conference on securities and futures regulators, stressed, and steadily promote multi-level market system, the establishment of a unified national regulatory system of non-listed public companies and continuous monitoring system, an active and steady development of corporate bonds and other fixed-income products market; in fully prepared under a situation where the conditions are ripe stock-index futures.
3, the central bank target of this year's total amount of money and credit. M2 broad money supply growth of 16% or so, the flexible use of interest rate instruments, strengthen the RMB exchange rate flexibility to promote the deposit insurance legislation, continue to promote the commercial banks to set up a pilot fund management companies.
4, today, 53 the fund company's 287 funds in 2006 reported that the disclosure of the four seasons finished. According to statistics, last year's fourth quarter, stocks take the initiative to fund a substantial increase in the direction of the stock positions, some of the new fund Jiancang faster. Configuration in the industry, the financial and real estate holdings to become the focus of the fund, finance and insurance industry became the fund's largest Shigekura industry. China Merchants Bank, Vanke sit tight in the fund in the first two Awkwardness top spot.
5, the CIRC Chairman Wu Dingfu said yesterday that the use of insurance funds will continue to expand channels, steady progress in comprehensive management experiments. In 2006, the insurance industry realized investment gains and 95.53 billion yuan for a yield of 5.8% compared to 2005 increased by 2.2 percentage points the past three years, the best level.
6, Industrial Bank Co., Ltd. announced on the issue price range determined to be 15.00 -15.98 yuan, distribution volume of 10.01 million shares. This basis, the scale of 15 billion yuan fund-raising -160 million.
Comment on market outlook
By the recent national financial work conference concluded the spirit of encouraging broader market opened higher Monday Shanghai and Shenzhen High-away to start a strong upside of the stock market, the two cities once again refresh Quotes index records and hit 158.341 billion the amount of the transaction day. The Shanghai Composite Index which gapped up in the form of a breakthrough in the recent high in the formation of a small Xiangxingzhengli form, created a new high of 2934.65 points of the stock market is expected to fully active, driven by individual stocks, short-term will face major resistance at 3000 points, an integer big off.
Interest rate increase is expected to ease pressure on the broader market Qiangshibugai
Character name of the Prime Minister in the national financial work conference pointed out, the financial sector at an important turning point and an important period of development, present and future will be mainly a period of six tasks do a good job. Which foreign entry is vigorously develop the capital market and insurance markets, to build multi-layer financial market system, to expand the scale and proportion of direct financing. Commission Chairman Shang Fulin at the national conference on securities and futures regulators stressed the need to seize the opportunity to push forward reform and development of capital markets.
From the recent market performance, as the market is widely expected the central bank may raise interest rates a quarter, but increased the short-term long-short differences and trigger a high index repeated shocks. In the analysis of market conditions in the previous session I mentioned that, from a macroeconomic policy point of view, the current Chinese economy is in a sustained and rapid development phase, future rate hikes expected to consist primarily of economic fine-tuning or adaptive adjustments, and will not be on the fundamentals of the economy have a major impact, not to fundamentally change the situation of excess liquidity. Worth noting that this year the central bank will only focus on strengthening liquidity management, continue to implement prudent monetary policy. Some indication that foreign exchange reserve management and foreign exchange through the use of means to solve the liquidity problem change has been put on the regulatory agenda. Therefore, to increase interest rates is expected to help ease the pressure on the market to run a strong pattern of continuity.
4 Annual Report of the opportunity to mainline layout
The disk from the recent performance, with the notice and disclosure of annual performance of the work progressed, however, around the annual performance will start to gradually warming hype Quotes. Based on historical experience, performance in the annual report notice and disclosure stage, the performance factors on the price movements tend to have a significant impact, and even the formation of a typical annual performance of Quotes. The author believes that sustained and rapid development in the national economy, tradable institution-building, capital market reform of the system, liquidity ample and appreciation of the RMB against the backdrop of the 2006 Annual Report Quotes will be the emergence of new features. According to the provisions of the Shanghai and Shenzhen Stock Exchange, listed companies release results before the notice should be completed by the end of January, the recent results are still notice the intensive phase. In my opinion, based on a strong run in the last stage of the market structure under the investors the opportunity to report from the four main line properly.
First, the industry as a whole depends largely on the profitability of the industry boom cycle and the impact of industry recovery, which determines the leading varieties of performance-related conditions. Notice has been published results from the point of view, food and beverages, non-ferrous metals, commerce and trade, machinery and equipment, aerospace defense industries, nearly half of the company notice of annual net profit increase of 50% or more; and medicine, electronic components, black metals industry is in a recovery phase, performance inflection point is taking shape. Therefore, we can dig from the above industries there is still much room to improve the valuation of stocks.
Second, the new accounting standards benefit from the plate. Since the new accounting standards will be the first listed companies in the implementation of the holders of other equity and ownership of listed companies, investment real estate or property held by the class-based listed company, the source will greatly increase their profits. Such as commercial real estate, shares of listed companies and other financial firms.
Again, a sharp drop in oil prices by reducing operating costs, including aerospace, plastics and chemical industries to enhance the performance of almost face. Meanwhile, the share reform debt settlement are largely effective in improving the financial position of listed companies.
Finally, there is merger and reorganization, and the overall quality assets into the listed themes listed companies. Assets into a listed company to achieve the performance increase in an important way by leaps and bounds. Since 2006, through the establishment of management stock incentives, a major shareholder orientation issuance, asset replacement, asset injection and other innovative means for listed companies to achieve sustainable development capacity. Regulators have also made it clear, through the targeted distribution to achieve the overall market, to achieve high-quality asset injection and the introduction of strategic investors, is to regulate the sector in the relevant distribution and M & A activity in the two goals of most concern, and support enterprises to absorb the merger with convertible, directional back purchase, non-public offerings, etc. to achieve the overall market. The author maintains that the merger and reorganization, listing assets into the overall enterprise value of re-discovery and re-creation process, and is expected to become the market's continued hot spots and opportunities lie.
