CSI300 gained 1.2%
Editor’s Note: As always, we would appreciate any feedback you have. It will help us make this app more useful to you.
The CSI 300 rose 1.2% this week on volume above the average and higher than the last week. The market condition was Rally Attempt. The index rallied strongly this week and is trying to break above the 21DMA. Support lies at the July 9 low of 3,385. June CPI rose 0.2% y/y, lower than the previous value and expectations. June PPI fell 0.8% y/y, the rate of decline continued to narrow. M1 declined 5.0% year-on-year in June, down more than the previous value. M2 rose 6.2% year-on-year, lower than the previous value and expectations. New RMB loans in June were 213 billion, higher than the previous value. The social financing scale increased by RMB3298.2 billion in June, higher than the previous value, the stock of the social financing scale rose 8.1% year-on-year, lower than the previous value and the expected. Financial data for June was unremarkable. On July 5, the “Opinions on Further Improving the Comprehensive Punishment and Prevention of Financial Counterfeiting in the Capital Market” was released, increasing the punishment for counterfeiting and further standardizing the market order. The China Securities Regulatory Commission has approved the suspension of Securities Financing Transactions by China Securities Finance from July 11th. Existing Securities Financing Transactions contracts will be settled before September 30th, further restricting short selling and boosting market sentiment. U.S. CPI rose 3.0% y/y in June, lower than the previous value, and fell 0.1% m/m, the first m/m decline since May 2020.Core CPI rose 3.3% y/y in June, lower than the previous value, and rose 0.1% m/m, the smallest gain since August 2021.206,000 new nonfarm payrolls were added in June, lower than the previous value. New nonfarm payrolls in May were revised lower to 218,000 from 272,000, and April was revised down to 108,000 from 165,000. The data showed that inflation slowed further and the labor market cooled. Federal Reserve Chairman Powell testified in the US Congress that there is no need to wait for inflation to drop to 2% before starting to cut interest rates, further strengthening the Fed’s expectation of rate cuts. With earnings season underway, investors are advised to focus on stocks with good performance and technicals. Follow-up attention is the twentieth session of the Third Plenary Session, which will be held in mid-July. Northbound inflow via the HK-China Stock Connect was RMB15.9B.
Leading: Technology (+3.5%), Financial (+2.7%), Consumer Cyclical (+2.5%); Lagging: Energy (-3.5%), Utility (-0.0%), Healthcare (+0.1%).
【A33】portfolio rose 1.5% with 21 stock up and 12 down . Automotive parts design and development company Guangzhou Jinzhong Auto Parts (301133) led the gains. The stock rose 27.7% this week. RS and AD ratings were 90 and A-. DG rating was 75.
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 July 12, 2024