Foreign capital allocation of RMB assets accelerates the prospects of China's economic stability growth

Reporter Liu Qi

Learr reporter Han Yu

The People's Bank of China (hereinafter referred to as the "central bank") recently announced financial data in the first half of 2022, and the total financing and structure are better. Especially in June, new credit and social integration increases have exceeded the seasonal level. Wen Bin, chief economist of Minsheng Bank, said in an interview with the Securities Daily reporter that the financial data in the first half of the year reflected the stability of economic measures to accelerate its efforts. Financial support for the real economy increased, and the economic continued recovery was better.

With the continuous recovery of the domestic economy, the attraction of RMB assets to overseas funds has also continued to strengthen. Recently, the largest Chinese stock ETF has attracted the inflow of overseas funds to innovate, becoming a beautiful landscape in the global market.

The economy is expected to accelerate recovery in the second half of the year

According to central bank data, the increase in social financing in June reached 5.17 trillion yuan, which was 1.47 trillion yuan over the same period last year. The stock of social financing at the end of June also increased by 10.8%year -on -year.

"The increase in social finance exceeding expectations will have a positive effect on economic recovery in the second half of the year." Chen Li, chief economist of Chuancai Securities and director of the Institute, said in an interview with the Securities Daily reporter.

Wu Chaoming, deputy dean of the Caixin Research Institute, also told the "Securities Daily" reporter, "In the first half of the year, the number of new government bonds in China has completed the annual goal of about 70%, and the progress is more than doubled than the same period in 2021. Infrastructure investment is expected to be in the infrastructure investment. The acceleration in the third quarter is expected to reach double -digit growth, leading the economic recovery. "

The chief economist of CITIC Securities clearly said in an interview with the Securities Daily that the rising economic recovery in the second half of the year will be a progressive process. The effect of a stable growth policy is expected to be highlighted in the third quarter, the fiscal expenditure is accelerated, and infrastructure investment will also usher in the high point of the year. Industrial production will take the lead in rebounding, and consumption, service industry, real estate sales, etc. will also enter the process of recovery. The concentrated effect of a package policy in the third quarter will improve the economic cycle. It is expected that economic growth in the fourth quarter will reach the annual high.

Foreign capital increase RMB assets

In the context of the continued good domestic economy, RMB assets are favored by foreign capital.

According to ETF.COM data, the latest scale of China's stock ETF MCHI under Belleide reached 8.56 billion US dollars, which is the largest Chinese stock ETF. Since June, the net inflow of funds has exceeded 1.4 billion US dollars. A new high, a single day net inflow of 333 million US dollars, about 2.235 billion yuan.

It is worth mentioning that many foreign institutions have recently sang more RMB assets. Among them, Citi raised China's stock rating to super -match, and UBS, Bank of China, and JP Morgan Chase also expressed unanimous optimism.

According to the 2021 "RMB International White Paper" released by Bank of China in June, in the questionnaire survey of more than 3,400 corporate institutions around the world, overseas financial institutions' intention to increase RMB financial assets is positive. 61.3% The institution said that it will increase the allocation of RMB denomination financial assets, which will increase by 9 percentage points from the results of the investigation in 2020.

Wen Bin said that with the stability of China's economy, the proportion of RMB in foreign exchange reserves will be further increased, and foreign investors will further increase the allocation of Chinese assets.

Obviously, my country's stable growth policy has entered a dense landing period, which will drive A shares to enter the mid -term rotation slowly, and the fundamentals, liquidity and market sentiment are expected to resonate. Chinese assets are indeed more attractive choices.

"Foreign capital continues to increase RMB assets reflects the good expectations of China's economic restoration and the valuation adjustment of some sectors. On the one hand, the impact of the epidemic has gradually weakened. With the support of various stable growth policies, consumption and services and other industries have bottomed back to rise and rebound back to the bottom of the industry. In the future, profit expectations will improve; on the other hand, some of the previous platform economy -related stocks will fall sharply, but as industry supervision policies are further clear, the process of valuation repair has also been opened. "Obvious analysis said.

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