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the combination of policies has given rise to a new trend in the market

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1. policies promote economic recovery and drive the performance of equity assets

the policy package is very powerful. from the aspect of enterprises and people's livelihood, it calls for helping private enterprises, improving the business environment, promoting the increase of income of low- and middle-income groups, and ensuring the bottom line of people's livelihood. at the same time, in terms of the capital market, policies have also injected new vitality into the market, striving to boost the capital market, supporting mergers and acquisitions and reorganizations of listed companies, and promoting listed companies to actively use market value management tools such as mergers and acquisitions and reorganizations, equity incentives, and major shareholder increases. the implementation effects of these policies will also have a positive impact on the equity asset market in the future.

2. with the continued advancement of economic policies, market valuations are recovering

economy-related procyclical assets, such as the real estate chain and consumption, have shown better opportunities with policy support, while industries with greater elasticity related to the chinese economy, as well as hong kong stock assets that benefit from the rise of the rmb, such as hong kong stocks and the internet, have also shown new development opportunities will be ushered in by policies. in addition, the continued investment of long-term funds will further enhance market confidence and promote the repair of the overall market valuation.

3. the implementation effect of the policy and the improvement of market risk preference

the convening of this politburo meeting has brought new confidence to the market, and the implementation effect of the policy will continue to play a role in the future. for example, industries with stable cash flow, such as petrochemicals, home appliances, educational publishing, ports, and banks, will also usher in new opportunities. at the same time, policy implementation is expected to continue to improve market risk appetite, with lower valuations and strong performance stability. growth industries that still have relatively high growth rates in the future will also see valuation repairs.

all in all, the successful promotion of the policy package has injected new vitality into the economic recovery, market confidence has improved, and the equity asset market has shown a positive trend. it is expected that the policy effects will continue to be implemented and bring more opportunities to the market.