History is rare! Coincidentally, the three major indexes of A-share market hit the limit up | Morning trading | A-share market
The US stock market plunged overnight, while the Japanese stock market fell sharply at the opening today. The A-share index was under pressure in the early trading session, with individual stocks generally falling. Subsequently, the securities sector led a major market rebound, and the leading stock, Pacific, rose by the daily limit, with a cumulative increase of over 36% in the past four trading days.
Recently, there have been continuous positive both domestically and internationally, but the market performance has not been satisfactory. There is a dialectical saying in the stock market: the market arises in despair, rises in hesitation, and peaks in frenzy. I don't know the trend of securities stocks, can I be considered a "spring river warm duck prophet"?
At the close of the morning, the Shanghai Composite Index rose 1.38%, the Shenzhen Component Index rose 1.38%, and the ChiNext Index rose 1.38%. The A-share market staged a desperate counterattack. It is worth noting that this morning the three major indices all rose by 1.38%, which is a rare and coincidental situation.
Great financial boiling
![History is rare! Coincidentally, the three major indexes of A-share market hit the limit up | Morning trading | A-share market](https://a5qu.com/upload/images/878858153035ddd277ecdca3fe9bc477.jpg)
The securities sector surged
This morning, the securities sector revitalized the trend of A-shares, with Pacific, Tianfeng Securities, Xinda Securities and other stocks hitting the limit up.
The securities sector saw a sharp rise, with catalysts mainly coming from several aspects: firstly, its position was low, which is in line with the recent trading logic of the market; The second is to boost the risk appetite of the sector with important conference content.
Guotai Junan stated that the current securities sector contains overly pessimistic expectations. From a valuation perspective, the sector is currently severely undervalued, with a high margin of safety and cost-effectiveness; From the perspective of allocation ratio, as of the second quarter of 2023, the holdings of public funds in the sector are also at an extremely low level.
![History is rare! Coincidentally, the three major indexes of A-share market hit the limit up | Morning trading | A-share market](https://a5qu.com/upload/images/0eac589af32345acee122c4b7095f3b1.jpg)
The institution also believes that the important meeting recently held will better promote the implementation of active capital market policies, and securities firms are expected to benefit from the boost in investor confidence and increased trading activity in the capital market brought about by favorable policies. In addition, customer demand institutional businesses such as over-the-counter derivatives will benefit more from the high-quality development of the asset management industry brought about by investment side reforms, and top securities firms have stronger product specialization capabilities. Therefore, we recommend top securities firms with competitive advantages in institutional business.
China Merchants Securities stated that the entire business chain of securities firms benefits from the active capital market and increased investor confidence. In addition, the equity wealth management industry chain centered around securities firms is expected to see a resurgence trend.
The insurance, banking, and futures sectors also saw a sharp rise in the morning, with leading stocks such as Hongye Futures, Xinhua Insurance, and Lanzhou Bank rising sharply.
Minsheng Securities stated that the current proportion of heavily invested banks in the stock market is close to the historical bottom level, which also means that the holding elasticity may be considerable. With the strengthening of stable growth policies and the bottoming out of industry fundamentals, the sector is expected to usher in a valuation recovery trend.
![History is rare! Coincidentally, the three major indexes of A-share market hit the limit up | Morning trading | A-share market](https://a5qu.com/upload/images/6ed8d292d84fc3f25625b3e2917f134a.jpg)
Strong consumer spending
This morning, major consumers showed active performance. The clothing and home textile sector surged, with individual stocks such as Jiaman Clothing, Golden Hair Rabi, and Red Dragonfly ranking among the top performers.
Xinda Securities stated that on the one hand, high-quality companies in the clothing industry with strong refined operation capabilities, high proportion of direct sales channels, and flexible supply chain management capabilities are expected to recover growth first; On the other hand, thanks to the continuation of high scenery and the rise of China-Chic, the track segment of sports shoes and clothing is expected to take the lead in restoring performance growth.
The automotive vehicle sector also saw a significant increase, with individual stocks such as Haima Automobile and Celes leading the way in gains.
![History is rare! Coincidentally, the three major indexes of A-share market hit the limit up | Morning trading | A-share market](https://a5qu.com/upload/images/b5fe7c2b68c6acb8cd5e9da1588e3e9d.jpg)
Market insiders have stated that the National Development and Reform Commission recently released several measures to promote automobile consumption, hoping to further stabilize and expand automobile consumption. Looking ahead to the future, with the continuation of policies, the launch of new cars, and the approaching peak sales season, the prosperity of the automotive industry is expected to continue to improve.
In addition, sectors such as beauty care, new retail, and small home appliances have also strengthened.
Hong Kong stock market Evergrande Auto plummets
This morning, the Hong Kong stock of Evergrande Auto fell by over 60%.
![History is rare! Coincidentally, the three major indexes of A-share market hit the limit up | Morning trading | A-share market](https://a5qu.com/upload/images/9733fbd2effa08741c62f2fbd3518c9a.jpg)
On the evening of July 27th, Evergrande Automobile announced that due to the completion of all resumption guidelines for its shares, the company has applied to resume trading of its shares on the Hong Kong Stock Exchange starting from 9:00 am on July 28, 2023.
The company has been suspended from trading for over a year, and trading will be suspended from 9:00 am on April 1, 2022.