男友太凶猛1v1高h,大地资源在线资源免费观看 ,人妻少妇精品视频二区,极度sm残忍bdsm变态

Global EditionASIA 中文雙語Fran?ais
Business
Home / Business / Finance

Stocks down; bargains may lift sentiment

By SHI JING in Shanghai | China Daily | Updated: 2022-01-26 07:36
Share
Share - WeChat
An investor checks stock prices at a brokerage in Hangzhou, Zhejiang province, on Tuesday. The benchmark SCI closed lower at 3433.06 points on Tuesday. LONG WEI/FOR CHINA DAILY

SCI falls 2.5% on uncertainties, poor 2021 results; but policy hopes rise

Market uncertainties and a downbeat sentiment caused by poor 2021 corporate results affected the A-share market on Tuesday, with the benchmark Shanghai Composite Index plumbing the 3500 level to close 2.5 percent lower at a two-month low of 3433.06 points, but market mavens said bargain-hunters may zero in on quality stocks.

The Shenzhen Component Index slumped by 2.83 percent to close at 13683.89 points, while the technology-focused ChiNext in Shenzhen, Guangdong province, plunged 2.67 percent to 2974.96 points.

Communication services, culture and media, gaming and professional services reported the biggest losses.

So far this year, the SCI has shed more than 3 percent while the ChiNext dropped more than 8 percent.

Losses reported in the 2021 interim financial results of A-share companies have partly caused the stock slump.

For instance, Beijing Shunxin Agriculture Co Ltd saw its price fall by the daily limit of 10 percent on Tuesday, as it reported on Monday an estimated profit contraction of 80.95 percent for 2021.

Similarly, ChiNext-listed Qitian Technology Group saw its shares slip 12 percent, as it reported a net loss of up to 490 million yuan ($77 million) last year.

Analysts from China Merchants Securities explained that China's economic growth rate and inflation rate are both declining at present. The stock market usually is weaker during such circumstances while the bond market will be relatively stronger.

The relatively pessimistic market sentiment is the major reason for the recent adjustments, said Hu Bo, a fund manager from Shenzhen Rongzhi Investment Consultant Co.

Conservative investors have lowered their positions to cut losses, which has resulted in a large amount of redemptions in mutual fund products and the retreat in major indexes. The situation may not improve before the Lunar New Year, which starts on Feb 1 this year, he said.

The A-share market appears to be moving within range. While there are no evident signs of bears on the rampage, bulls are conspicuous by their absence as well, said Yang Delong, chief economist at First Seafront Fund.

When the market nears the bottom, smart investors tend to zero in on bargains in quality stocks. But the sectors that reported significant gains last year, like new energy, may fluctuate more severely this year as there is no consensus on their valuation, said Yang.

Analysts from China International Capital Corp Ltd wrote in a note that major economic indicators may improve as more stabilizing policies are expected. Market sentiment will likely brighten.

China has entered a cycle of lowering interest rates, given the recent cuts in the loan prime rate and medium-term lending facility, which signal relaxed market liquidity. Investors can continue to hold existing stocks in their portfolios if they believe they are quality companies, said He Jinlong, general manager of Shenzhen-based Youmeili Investment.

Trends of the last two decades suggest the market gains upward momentum every spring, said analysts from Haitong Securities.

In the past, when stabilizing policies were introduced in the first few months of 2012, 2014,2015 and 2019, value stocks rose, followed by stocks of growth enterprises. A similar story might ensue this year, said Haitong analysts.

Top
BACK TO THE TOP
English
Copyright 1995 - . All rights reserved. The content (including but not limited to text, photo, multimedia information, etc) published in this site belongs to China Daily Information Co (CDIC). Without written authorization from CDIC, such content shall not be republished or used in any form. Note: Browsers with 1024*768 or higher resolution are suggested for this site.
License for publishing multimedia online 0108263

Registration Number: 130349
FOLLOW US
CLOSE
 
主站蜘蛛池模板: 衡东县| 土默特右旗| 思茅市| 黄平县| 栾城县| 城步| 宜春市| 清远市| 大宁县| 清水县| 宜阳县| 白水县| 嵊州市| 四川省| 松阳县| 宁陕县| 敦煌市| 北宁市| 侯马市| 尚志市| 宜都市| 阳新县| 浪卡子县| 阿巴嘎旗| 莱州市| 武宣县| 乐都县| 垣曲县| 出国| 永济市| 嫩江县| 青阳县| 鹰潭市| 汝南县| 博兴县| 利川市| 宁国市| 宁河县| 仲巴县| 宕昌县| 洪江市|