The net inflow of foreign capital in May is 4.7 billion US dollars. What does foreign investment loo

Foreign capital

Foreign capital has the title of smart funding. From the market market in the past many years, foreign funds often have a role of influence of prophetic awareness. When there is a dense net inflow of foreign capital, it is often indicated that the market may enter the undergoing bottom area. Conversely, if foreign funds are densely out of net outflow, it is likely to mean that the stock market market has entered the top area.

Since this year, under the influence of the Federal Reserve's interest rate hikes and shrinkage, the performance of the global stock market is not ideal, especially for emerging markets, this year's investment is more difficult, and the effect of asset preservation and appreciation is not effective. good.

Among them, from the analysis of the funding side, in May this year, foreign capital flowed out of emerging markets for the third consecutive month, and it was a record of three consecutive months in February 2016. However, the Chinese market, which also belongs to emerging markets, has a net inflow of foreign capital in May this May.

From the analysis of the inflow of foreign capital into the Chinese market in May, there were $ 2 billion investment debt and US $ 2.7 billion to invest in the stock market. Among them, the most obvious feature is that in the past month, there have been significant signs of net purchase in the north direction. Foreign capital began to look at more Chinese markets.

However, according to data statistics, even if foreign capital flows significantly into the Chinese market in May this year, foreign funds in the Chinese market have been in a cumulative net outflow since this year. It can be seen that the flow of foreign capital depends on the influence of factors such as exchange rate fluctuations and the adjustment of the Fed's monetary policy.

The net inflow of US $ 4.7 billion in the Chinese market in May seems not particularly huge inflow funds, but it conveys signals to the market's confidence in foreign investment. As long as the market confidence is back, no matter how big the difficulty is.

Foreign capital began to look at more Chinese markets, which not only reflects the optimistic attitude of foreign investment in the Chinese market, but also reflects to a certain extent that investment attraction in the Chinese market is gradually increasing.

Taking market valuation as an example, at the end of April this year, the A -share market index fell to 2863 points. At that time, the market valuation level returned to the bottom area of \u200b\u200bthe historical valuation. However, from the analysis of data such as economic fundamentals and the operation status of listed companies, it has not showed particularly not optimistic performance. With the steady advancement of re -production and production in many places, economic data will gradually improve, and the irrational adjustment of the stock market is also a manifestation of market wrong killing.

Even though the A -share market now returns above 3250 points, it is not very expensive from the analysis of the valuation level of the major market indexes, but it returns to the reasonable valuation range of the historical reasonable valuation.

In this round of rebound, it is basically dominated by track stocks and growth stocks, but for large financial and large consumption white horse stocks, there is no obvious dazzling market performance. However, compared with the track stocks, the valuation of the heavy white horse stocks such as large finance and large consumption is still inThe level of historical valuation is low. Once these heavy white horse stocks have replenished, it will also drive a further rebound of the market index.

In addition, taking the policy environment as an example, starting from the end of April, the policy environment has begun to blow warm wind, creating a favorable policy environment for the stock market. Among them, those who have a great impact on the policy environment are Chinese stocks. The Chinese stocks with a lot of declines and a good texture have become a pioneer in this round of rebound.

In the face of the continuous net inflow of foreign capital, it can be considered as the valuation level and investment value of the current A -share market. As the world's second largest economy and the world's second largest market value stock market, from the perspective of global asset allocation, foreign capital should also increase the proportion of Chinese asset allocation to further balance the allocation of global assets.

However, the net inflow of foreign capital in May is 4.7 billion US dollars, just a past. Next, we still need to look at the net orientation of foreign investment in June and July. Only by maintaining continuous net inflow can we have better persuasion, and we can explain that the continuous ability of this round of rebound is not weak.

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