Finance and Economics Network Capital Market News On March 18, the market trend tended to be flat, the three major indexes were under pressure after opening low in the morning, the Shanghai index strengthened in the afternoon, and the Shenzhen Index and the ChiNext Index followed the red. As of the close, the Shanghai index led the rise of 1.12% at 3251.07 points, the Shenzhen component index rose 0.31%, the ChiNext index rose 0.11%, the trading volume of the two cities fell back to 990.5 billion yuan, and the northbound funds bought 8.457 billion yuan in the whole day.
Broad market quotes
In terms of sectors, large infrastructure has performed strongly, with assembly buildings, real estate development, decoration and building materials leading the market; agricultural stocks have performed well, with the concept of pork, chicken, agriculture, animal husbandry, feeding and fishing have all risen well; new crown drugs, traditional Chinese medicine, etc. have continued the recent upward momentum; in addition, coal, electricity, tax-free concepts, non-ferrous metals and other rising trends are in the front. Recently, the hot electronic ID card correction is obvious, and the east and west calculations, batteries, semiconductors, etc. are weakened.
Plate distribution
The third line closed red, the market had 3507 shares closed up, 128 shares up and down; 1143 shares closed down, 3 shares fell to a stop. The increase of the national securities 300 is significantly less than that of the national securities 2000, and the "Ning combination" and "Mao index" have closed green plates, and the trend of the core assets in the market is relatively weak.
Individual stocks are up and down
For the recent market trend, Soochow Securities said that the two cities opened two consecutive days of retaliatory oversold rebound, the Shanghai Composite Index also successfully made up for the downward jump left on Tuesday, although the afternoon market rushed up and down, but there are still hundreds of stocks up and down, the previous downturn in popularity has recovered, for investors, some of the positions that have previously been sucked low can be considered to gradually cash in on the high, and it is not recommended to increase the position in the short term, after all, after the continuous rebound, the market may have rest requirements, pay attention to controlling the trading rhythm.
Huaxin Securities said that the review of the two rounds of rescue under the extreme market in 2015 and 2018, the direct participation of the national team will help improve market expectations, short-term can contain the momentum of the sharp decline, the emergence of monthly level oversold rebound, but the rebound does not mean a reversal, the follow-up trend must also be combined with the specific analysis of fundamentals, mostly for the double bottom structure, high boom growth is expected to become the flag bearer of this round of oversold rebound, mainly by the PEG back to a reasonable range, a quarterly performance catalyzed and monetary easing expectations triple positive catalyzed.
Market led the rise: grand strategy to promote large infrastructure
On March 18, the Shanghai index rose sharply into the bellwether, behind which is the strong performance of large infrastructure, as of the close, decoration and decoration rose by 4.78%, assembly buildings rose by 4.41%, real estate development rose by 3.25%, decoration building materials rose by 2.94%, engineering construction rose by 2.77%, cement building materials rose by 2.46%, underground pipe network rose by 2.2%, and water conservancy construction rose by 2.19%.
Assembly buildings led the gains
Real estate development led the gains
On the news side, this year's government work report proposes to actively expand effective investment. Focusing on the major national strategic deployment and the 14th Five-Year Plan, we will appropriately advance infrastructure investment. Construct key water conservancy projects, comprehensive three-dimensional transportation networks, important energy bases and facilities, accelerate the renovation of urban gas pipelines, water supply and drainage pipelines and other pipe networks, improve flood prevention and drainage facilities, and continue to promote the construction of underground comprehensive pipe corridors。
Judging from the list of major project investment plans for this year successively released by many places across the country, infrastructure construction has become an important point of strength. Of the 900 billion yuan that Guangdong plans to invest in 2022, the annual planned investment in infrastructure projects is 499.3 billion yuan, accounting for 55.5%; a few days ago, guizhou has successively held concentrated construction activities for major engineering projects in the first quarter of 2022, with a total of 907 major engineering projects and a total investment of 374.942 billion yuan in the province; since March, more than 168 billion yuan of new projects have been started in Hebei Province, with a total investment of 817.6 billion yuan.
In terms of water conservancy construction, the Ministry of Water Resources recently held a symposium on the work of the 2022 water conservancy planning plan to deploy the key work in 2022. The meeting pointed out that it is necessary to expand the scale of investment and deepen the reform of key areas. Increase investment through multiple channels and strive to increase the scale of water conservancy investment this year to exceed 800 billion yuan. Accelerate the establishment of a rigid constraint system for water resources, formulate opinions on strengthening the river and lake length system, strengthening the shoreline control of river and lake waters, and strengthening water and soil conservation.
In terms of construction, securities companies are generally optimistic about green buildings. Guosheng Securities said that with the continuous improvement of the top-level design of domestic green buildings, green buildings that can save resources, protect the environment, reduce pollution, and provide people with healthy, applicable and efficient use of space have gradually become the main line of transformation and upgrading of the construction industry, nurturing new opportunities for rich growth and investment. The agency estimates that the size of the green building market is expected to exceed 9 trillion yuan in 2025, cagr 5%.
Previously, Guosheng Securities mentioned that the A-share market may usher in an oversold rebound after continuous bottoming; operationally, it can pay attention to the concept of "stable growth" that contributes more to the 5.5% target of annual GDP growth.
Market changes: will the hog decline cycle be reversed?
On March 18, the concept of pork rose by 3.16%, of which Pengdu Agriculture and Animal Husbandry and Superstar Agriculture and Animal Husbandry rose and stopped. The collective rise in pork stocks led to a 2.82% increase in the chicken concept, a 2.48% increase in agriculture, animal husbandry, feed and fishing, and a 2.11% increase in agricultural planting.
The pork concept led the gains
On the news side, on March 15, the National Development and Reform Commission said that it would work with relevant departments to start the third batch of central frozen pork reserves this year, and guide all localities to speed up the collection and storage. The National Development and Reform Commission will continue to work with relevant departments to do a good job in reserve regulation, further increase the intensity of storage when necessary, promote the return of pig prices to a reasonable range, and promote the smooth operation of the pig market.
Galaxy Securities Research Report believes that the current market on the pig cycle is very divergent, in the hesitation of the upward stage, is worth grasping the layout window period; production capacity continues to clear, the industry is experiencing a trough period, with a full margin of safety, the future is expected to be good certainty, for breeding enterprises, 2022 strive to achieve cost reduction and efficiency, maintain a certain amount of growth, safely through the industry trough.
Ruida futures view is bearish, the agency believes that with the decline in pig prices, some farmers' willingness to go out of the bar continues to increase, large farms as planned, the overall supply is still loose, and the downstream is in the seasonal off-season, the support for pig prices is limited; at present, there are actions to collect and store pork, but the market still needs to squeeze out profits and optimize the production capacity structure in order to achieve the result of a reasonable rebound in pig prices; the third round of storage is about to unfold, the market is boosted by this, limiting a certain decline; futures disk view, Pig price performance is weak.
The market led the decline: the growth theme pulled back, and the semiconductor, battery, and digital economy weakened
On March 18, the ChiNext index, which rose sharply for two consecutive days, ushered in a correction, corresponding to the weak performance of a number of sectors with growth attributes, of which batteries fell 0.41%, semiconductors fell 0.4%, digital economy fell 0.2%, and electronic ID cards, Eastern and Western calculations, digital currency, software development and other related sectors weakened.
Semiconductor sideways trend
The battery trend is also slightly burned out