Two sessions will release water Hong Kong stocks break 29200 to create an eight-month high

Two sessions will release water Hong Kong stocks break 29200 to create an eight-month high

Sino-US trade negotiations are rumored to be reached, and the market and the National People’s Congress meeting issued a stimulus policy. Hong Kong stocks followed the A-shares and then rose back. The Hang Seng Index opened wider after 42 points. , up to 429 points, see the 29241 points of more than 8 months high, and broke through 29,200 points. However, the market retreated after breaking the position and closed at 147 points or 0.51%, closing at 28959 points. The H-Share Index also hit a high since June last year, closing at 11,575 points, up 68 points or 0.66%, with a daily turnover of 148.9 billion yuan.

Tencent (700) fully supported the market, with a high of 348.6 yuan, closing at 346.8 yuan, up 3.1%, contributing HSI 88 points. Other heavyweights developed individually, China Mobile (941) Yi Shuai, the stock closed down 2.7%. AIA (1299) opened at a new high of 79.85 yuan and then fell back, closing at 78.5 yuan, down 0.6%; HSBC Holdings (005) did not rise and fall.

Chinese financial stocks continued to rise, with Ping An (2318) and China Construction Bank (939) up 1.2%. China property stocks exerted strength, Sunac China (1918) 8.5%; China Evergrande (3333), Kaisa (1638) and KWG (1813) rose more than half; Vanke (2202) and Country Garden (2007) Rose 3.4% and 2%. However, brokerage stocks rose sharply after the surge, GF Securities (1776) and CITIC Securities (6066) fell 1.3% and 1.1%; CITIC Securities (6030) and Everbright Securities (6178) fell 0.5%; Huatai Securities (6886) ) fell 0.2%.

Mainland leverage material increased moderately

The big bank estimates that the National People’s Congress, which was unveiled today, will announce the reduction of economic growth targets. Morgan Stanley expects that the mainland’s economic growth target this year will be lowered from 6.5 percent in the past two years to 6% to 6.5%. Xing Zhiqiang, the chief Chinese economist of the bank, believes that fiscal easing will be the focus. It is estimated that the mainland will launch a 1.6 trillion yuan fiscal stimulus package, including 800 billion yuan in value-added tax relief, and an increase of 800 billion yuan in local special debt issuance, meaning The Mainland will tolerate a modest increase in leverage this year.

Citigroup estimates that the mainland government will reiterate its “stable" policy stance, but will not set a growth target for social financing or broad money supply M2. According to HSBC Securities, the Hong Kong and Mainland China stock markets have performed positively in the past three months after the “two sessions", with the industrial, consumer, telecommunications and infrastructure sectors performing better. Shanshui Cement (691) surged nearly 18% yesterday. In addition, individual domestic demand stocks were sought after. Skyworth Digital (751) and Anta (2020) both rose 4%.

Estimated resistance near 29400

In addition, China and the United States reportedly entered the final stage of the trade agreement, and the summit of the two heads of state was held around the 27th of this month. According to the comprehensive foreign news report, the agreement between China and the United States is to clarify the last Sino-US trade negotiations in Washington. Among them, China will reduce tariffs or other restrictions on US agricultural products, chemical products, automobiles and other products.

Independent stock evaluator Huang Zhiyang believes that the continued strong strength of A-shares and the increase in transactions have caused investors to believe that the bull market has arrived, which has led Hong Kong stocks to surpass the position of over 29,000 points, but it is estimated that there will be some resistance around 29,400 points. Yao Yaohui, director of Yaocai Securities Research Department, said that the mainland stock market is strong and is expected to continue to benefit Hong Kong stocks. However, the recent A-share market is on the rise. It is expected that the HSI will still be adjusted and the space is limited.