Raising the interest rate and every trade war
After the closing of the two sessions, together with the “strengthening of stability”, the divine powers also faded. The two cities fought for water yesterday; although the concept of state-owned enterprise reform, medicine, and the unicorn continued to improve, but the end of the market’s intervention caused the 3500 points of the Shanghai Composite Index to be lost. The GEM has also suffered a sharp drop of nearly 2%. The A shares have added a bit more snow before the US Federal Reserve set interest rates.
However, from the long-term perspective, the entire Chinese economy is still worthwhile. The reason is that Xi Jinping, the chairman of the National People’s Congress further consolidating the core position during the two sessions, has increased its authority and will make the overall economic transition more consistent.
Yesterday, a report titled “Comrades of the Political Bureau of the Central Committee to report to the Party Central Committee and General Secretary Xi Jinping" confirmed that the party leaders of the Politburo must report to Xi Jinping once a year, and that Xi Jinping personally review and perform duties, improve work style, etc. Feedback requirements. It shows that Xi Jinping has become the core of the core.
The report also disclosed that the report of the Politburo member’s report covers seven areas, including the need to take the lead in learning and propagating “the idea of learning" and taking the lead in implementing the report system for major issues. In particular, it called for “to take the lead in implementing the Party Central Committee’s decision-making and deployment arrangements." It called for “strive efforts to resolve outstanding conflicts and problems, effectively prevent and resolve risks and challenges, and ensure the implementation of all Party committee decision-making arrangements." It highlights Xi Jinping’s status as supreme and more conducive to the promotion of Xi Jinping’s economic thinking.
Prime Minister Li Keqiang also followed the policy. He held the first State Council executive meeting since the two sessions yesterday to determine the key task division of the “Government Work Report." The conference emphasized that the current international situation is complex and complicated, and that China’s development faces many difficult challenges. It reiterated that we must continue to fight for the three major challenges of preventing and resolving major risks, accurately eliminating poverty, and preventing and controlling pollution so as to “consolidate and expand the momentum of steady economic growth”. It also proposed to “focus on employment, education, medical care, retirement, and other livelihood issues.”
Of course, the relevant leaders and the State Council have begun to perform their duties in a comprehensive manner, which is a bit “untimely." Because immediately after the United States once raised interest rates, how to withstand the test of monetary policy. In trade, there are trade frictions between the United States and China, or they evolve into “trade wars." However, the Chinese side still regards the revolutionary pride as just waiting for attention – Foreign Ministry Spokesperson Hua Chunying said: “If someone is not forcing us to fight, we will not be afraid and we will not hide", and we will respond with a strong tone, if the US side To take action against the interests of the Chinese side, the Chinese side will take resolute and necessary countermeasures. Listening to what was happening, what Mao Zedong said in the past was: “If people don’t commit me, I don’t commit crimes; if a person commits me, I must be guilty”.
However, despite these disputes, Alibaba and Jingdong in BATJ (Baidu, Ali, Tencent, and JD.com) reportedly released CDRs in the summer, returning A shares in this form. The newly announced Tencent (00700) Chairman Ma Huateng also announced that if the conditions are relatively mature, he will also consider listing in the form of CDRs in the Mainland.
The capital market has always been ebb and flow, with both BATJ and other quasi-curves returning to A-shares (secondary listings); some companies continue to sell assets, including Hainan Airlines, which had previously repatriated at least over 30 billion yuan by selling domestic and overseas properties earlier. After yuan renminbi funds, they recently sold a unit of the Limpo Center in Hong Kong for 40 million Hong Kong dollars. At that time, the company spent 7.5 million Hong Kong dollars to buy and held goods for more than 4 times to 40 million Hong Kong dollars in 14 years, confirming the high return on real estate properties. Only this is great.