Chinese financial stocks issued Wei Ping ADR once over 97 yuan, the market turnover was 3 months low

Chinese financial stocks issued Wei Ping ADR once over 97 yuan, the market turnover was 3 months low

Chinese financial stocks entered the peak season, and many stocks sneaked out to help the Hang Seng Index rise nearly 300 points on the eve of the “May 1 Holiday” settlement date. The investment sector is expected to play a role in supporting the city’s “Dinghai Shenzhen”, helping the HSI to stabilize, and the H-Share Index has the potential to catch up.

Many domestic insurance and domestic banking stocks reported their gains yesterday. Ping An Insurance (02318), China Merchants Bank (03968) and CCB (00939) all outperformed the market. In the first quarter, the net profit in the first quarter was even stronger in the A-share market, which boosted investment income. It rose 77%, better than the outside expectations, and it is expected to become a “red stock” in the short-term.

Standard Chartered recommends domestic insurance stocks

Ping An American Depositary Receipt (ADR) was established. The discount was once raised by HK$97. As of 0:00 this morning, it was converted to HK$96.7, which was 2.35 yuan higher than the closing price of Hong Kong. It took into account the overall performance of Hong Kong stocks in the ADR of American Depositary Receipts. This is equivalent to the Hang Seng Index opening 33 points lower today. Hong Kong’s night report was 29,648 points, down 31 points.

Liang Zhenhui, head of wealth management investment strategy of Standard Chartered Bank, analyzed that Chinese financial stocks have strengthened. Apart from the sneak peek of funds, it also reflects that the market has short-term or slightly relaxed after the PBOC suspended the repurchase for many days. He described that the transfer of funds from speculative strong stocks to other stocks is a healthy phenomenon, and the market outlook should pay attention to whether the turnover can rise.

Liang Zhenhui added that the valuation of Chinese-funded financial stocks is reasonable, which can help the HSI to stabilize at 29,500 points. However, as the overall profitability of the sector is hard to see explosive growth, it is also difficult to help the market to rise strongly. The Hang Seng Index is expected to be short-term at 29,500 to 30,500. A narrow range of fluctuations between points. If you want to deploy Chinese-funded financial stocks, Liang Zhenhui said that once the A-share market is reported, the investment income of the insurance stocks will also be driven, and the potential of the sector is higher than that of the domestic banks.

Liu Jinjin: A-share or consolidation of H-share valuation

In fact, the H-Share Index, which tracks Chinese stocks, was successfully outperformed by the two major sectors, namely the domestic insurance and the domestic banking. Liu Jinjin, chief strategist of Goldman Sachs China, said that the AH share price has been widening, and the H-value is slightly lower than the historical average of the past mid-term market. In response to the short-term A-shares or entering a stable consolidation pattern, H-shares can be pursued. And refers to the past experience, if A shares are up and down, H shares usually have an ideal performance. Goldman Sachs is more optimistic about domestic insurance, mainland brokerages, and consumer goods H shares, because the relevant shares AH difference is obvious, the earnings growth forecast has been raised, and the A-share trend is also more sensitive.

For the general trend of the market, Chen Yuxiong, chief investment officer of East Asia Lianfeng Investment, said that the market outlook is still going up again, but as the current valuation has risen to the level of “unfair and not expensive”, I believe that the valuation restoration stage has been completed and believes that Hong Kong stocks are now in a consolidation period. If the market is to go up again, it cannot rely on economic data to stabilize, and it needs to have a more accurate profit performance.

The Hang Seng Index closed at 29,892 points yesterday, up 287 points. The turnover of the main board of the whole day was only 74.7 billion yuan, a low of nearly three months. In addition, Caixin and the official manufacturing PMI will be announced this morning, investors can further check whether the economic situation in the Mainland has bottomed out.