HSBC single day 6.3% 8 years the most strong pressure test clearance look forward to repurchase big line to sing a good deal 8.5 billion
Several large US banks have passed the stress test and have been approved by the Federal Reserve to pay dividends or repurchase programs, the news to stimulate the bank shares rose across the board, the market for HSBC (0005) repurchase of the vision of reproduction, , HSBC yesterday rose nearly 6.3% to 72.8 yuan, the stock hit a two-year high. Some analysts believe that the fund to take advantage of half a year knot window, and interest rate expectations, HSBC business has improved, so the basic factors alone, is also sufficient to support the stock price continues to rise. Ming Pao reporter Liao Yiran
US afternoon Wednesday afternoon, the Federal Reserve announced the results of this year’s stress test, with sufficient capital, 34 banks all passed the test, in the more stringent requirements of the second phase of the test and only the first capital finance (Capital One Financial Corp.) did not make it. The authorities have also approved a number of banks to significantly increase dividends and share repurchase program, JP Morgan Chase, Citigroup and Bank of America immediately announced the increase in dividends and repurchase shares, the market is more than expected.
Round of checks with the most sought after by 5 times
Bank stocks are generally stimulated by the stimulus, the rally more swept Hong Kong stocks. HSBC yesterday rushed to up to 73 yuan, closing at 72.8 yuan, up 6.28%, up to 8 years up, the stock also hit a two-year high. The daily turnover of 8.52 billion yuan, is also the largest since the British referendum last year. Related derivatives are also sought after, the subscription card up to more than 5 times. Hang Seng Index rose 282 points yesterday, HSBC alone has contributed 162 points.
HSBC contributed 44 points to the Hang Seng Index
The US industry increased dividend and repurchase, once again caused the market for HSBC repurchase shares of vision. Since August last year, HSBC conducted two rounds of repurchase, a total of 3.5 billion US dollars. As the US subsidiary has begun to pay dividends to HSBC at the beginning of the year, the market is expected to buy back in the second half of the year. Morgan Stanley’s report predicts that HSBC can be used as a dividend or repurchase of $ 33 billion.
However, Hong Kong, Hong Kong, director of financial research, Chen Zhiming that the HSBC even if announced the repurchase, is also expected within the market. He believes that the current share price is not the level of August last year, the Asia-Pacific lending market to regain growth, HSBC did not repurchase incentives, I believe the management tend to use funds for the development of business. But he believes that excluding the repurchase factors, the performance improvement and interest rate expectations alone, is enough to let HSBC rose to 78.6 yuan.
Morgan Stanley to see 93 yuan
Tai Mo pointed out that HSBC’s ability to control risk-weighted assets is underestimated by the market, while the Hong Kong market interest rate will rise with the United States, favorable net interest income, and the market for the United Kingdom after the European outlook is too pessimistic, so give the 84 yuan target price , “The most cattle” is more likely to see 93 yuan.
In the past, the Bank would have an immediate effect, such as earning Silver Bank (2388) earlier, and the stock rose more than 6%. Hong Kong rose 3% yesterday, while Standard Chartered (2888) also rose more than 4% and Hang Seng (0011) gained 2.8%.
Greater China Investment Strategy Research Association Vice President Li Weijie that the HSBC transactions increased significantly, may be the first half of the year before the fund whitewash window, but more optimistic about the prospect of bank stocks and large change horse. In fact, the “North Water” recently bought HSBC, just nearly five trading days, Shanghai Hong Kong shares through the net inflow of the amount of control has accumulated nearly 20 billion.