CSI300 gained 5.50%
Editor’s Note: As always, we would appreciate any feedback you have. It will help us make this app more useful to you.
The overall market maintained an uptrend this week, with major indices showing gains. The Hang Seng Index rose by 1.35%, nearing the 200-day moving average, while ChiNext surged by 9.32%, highlighting the strength in small-cap stocks. The Shenzhen Component Index, CSI 300, and SSE Index also showed robust performance, increasing by 6.75%, 5.50%, and 5.51%, In terms of trading volume, all indices saw an increase compared to last week, and volumes exceeded the 50-day average level. This data indicates a positive market sentiment, suggesting signs of capital inflow.
Global economic data this week was largely positive. U.S. ISM Non-Manufacturing PMI and S&P Global Services PMI exceeded expectations at 56 and 55, respectively, indicating continued expansion in the U.S. services sector. Meanwhile, the Eurozone’s October Manufacturing PMI slightly rebounded to 46, though still in contraction. China’s October Caixin Services PMI hit a high of 52, showing signs of recovery in the service industry. Oil prices experienced volatility due to unexpected increases in crude stock levels, yet overall market sentiment remained optimistic.
The U.S. Federal Reserve cut interest rates by 25 basis points, setting the current rate at 4.75%, down from 5%. The Fed signaled a potential slowdown in future rate cuts, strengthening expectations for continued easing policies. China’s National People’s Congress Standing Committee reviewed a proposal on local government debt limits, which could offer long-term economic support if passed. Notably, MSCI’s flagship China Index adjusted its components this week, adding four Chinese stocks and removing twenty, potentially affecting these stocks in the short term.
In sector performance,Comml Svcs-Market Rsrch (G8244IG.CN) led with a 44.60% increase, reflecting the growing demand for information services and data analytics. Telecom Svcs-Cable/Satl (G4896IG.CN) sector followed closely with a 25.34% rise, likely driven by increased demand for 5G and network infrastructure. Retail-Leisure Products (G5342IG.CN) sector also gained 22.08%, showing a recovery in consumer demand. This strong sector performance suggests capital inflows into sectors with clear growth prospects, and investors can monitor these sectors for potential growth opportunities.
Among the top 33 A-shares, the average gain this week was 5.90%, with 29 gainers and 4 decliners. The top performer gained 17.81%, Seres Group ‘A’ (601127) specializes in electric vehicles, engines, and components, including eco-friendly vehicles. With an O’Neil Score of 79 and RS Rating of 94, Seres shows strong market performance and notable competitiveness in the electric vehicle sector.
In summary, the market shows an uptrend, with indices broadly gaining and trading volume increasing. Industry performance remains mixed, with standout sectors and stocks, especially in the electric vehicle sector. Investors should focus on potential in high-performing sectors while maintaining risk control in the face of increased market activity.
What do you think? Please email us any questions or comments.
Notice: Information contained herein is not and should not be construed as an offer, solicitation, or recommendation to buy or sell securities. It is for educational purposes only.
published on November 8, 2024