A shares seem to be weak and solid, no excessive reaction is required

The market has continued to fall in the past week, especially on Wednesday's rapid decline. Some markets have been attributed to the internal expressions of Huawei Ren Zhengfei about the internal business of shrinking edge business. Some investors believe that the interim performance of the "Mao" interim performance of some industries drags the stock index. In the author's opinion, this decline comes from multiple factors, such as the repeated epidemic, net outflow of funds from north, and the decline of the peripheral stock market.

And these factors are superimposed in the hearts of investors, and the panic spreads, and the stock index will inevitably react excessively. However, the three major Index A -share indexes were closed except the GEM index. Just one day, the market's "cold" had converged, showing that there was still some toughness in the A -share market.

It should be seen that the steady growth policy has consistent. On August 24th, the State Frequently deployed continuous policies and measures for the stability of the economy.

From the semi -annual report disclosed one after another, the decline in some A -share companies does not represent the entire market, and the concerns caused by their concerns are only local and short -term. As of the closing of August 25, the 2080 companies that had disclosed the performance in the first half of 2022 achieved a total of 931.939 billion yuan in net profit, which was 10.51%over last year; 1117 net profit attributable to the mother increased year -on -year, accounting for 53.7%of 53.7%. Essence Under the situation where the epidemic was repeated in the first half of the year, this performance was far beyond market expectations.

Judging from the comparative advantage, the attraction of Chinese assets is obvious to all. According to the latest data released by the Ministry of Commerce, from January to July 2022, the actual amount of foreign investment in the country used 798.33 billion yuan, an increase of 17.3%year -on -year. This fully reflects the confidence of foreign investment in China's economy.

On August 22, the People's Bank of China lowered LPR interest rates, and 5bp was reduced in one year; 15bp below 5 years and below, and currency liquidity release exceeded expectations. Corresponding to the abundant liquidity, there are not many options for investment that can spate trillion -level funds every day. At present, it seems that both A shares have obvious comparative advantages in terms of valuation, liquidity, or the market ecology. The continuous inflow funds will eventually promote the stock price, which will affect the A -share market trend. Some analysts point out that the A -share cycle is re -priced. The road is already open.

The excessive decline in emotions will quickly calm down, but the opportunity that you lose due to the misjudgment of the general trend may always be missed. (Zhao Ziqiang)

- END -