On September 27, the A-share market opened higher and moved higher, staged a strong rebound. The Shanghai Composite Index, the Shenzhen Component Index, and the ChiNext Index rose by 1.40%, 1.94%, and 2.23%, respectively. The turnover of A-shares has not been significantly enlarged, not exceeding 670 billion yuan, of which the Shanghai market turnover is 290.066 billion yuan, and the Shenzhen market turnover is 376.139 billion yuan. The data shows that the net inflow of northbound funds was 3.272 billion yuan on the 27th, and the net inflow of main funds in Shanghai and Shenzhen was 1.464 billion yuan. Among them, northbound funds significantly increased their positions in consumer stocks and significantly reduced their positions in track stocks.
Analysts said that the adjustment from the beginning of July to the present has released the pessimistic expectations of the market to a large extent. The current dynamic price-earnings ratio of the CSI 300 has been equal to the level in February 2016, December 2018 and March 2020, and the long-term allocation value is highlighted. .
Pharmaceutical consumption sector led gains
On the 27th, the A-share market opened higher and moved higher, showing the strongest rebound in nearly a month and a half, and the ChiNext Index rose by more than 2%. On the 27th, a total of 4,371 stocks in the A-share market rose, 80 stocks rose by the limit, only 500 stocks fell, and 7 stocks fell by the limit. Wind data shows that as of the close on the 27th, the total market value of A shares was 83.94 trillion yuan, an increase of 1.36 trillion yuan from the previous trading day.
From the perspective of the industry, most of the first-tier industries in Shenwan rose, with social services, medicine and biology, and commerce and retail industries leading the way, up 5.33%, 4.82%, and 3.31% respectively; only the coal, petroleum and petrochemical industries fell, with a decline of both 0.37%.
In the social service industry, ST Sansheng rose by more than 12%, Huatian Hotel, Xi’an Restaurant, Lijiang Shares, and Lisheng Sports daily limit. In the pharmaceutical and biological industry, Huakang Medical’s daily limit (up 20%), Tofflon rose more than 15%, Wuwu Biology rose nearly 12%, Zixin Pharmaceutical, Shuangcheng Pharmaceutical, Dabo Medical, Tongce Medical, Xinhua Medical and other stocks daily limit.
In addition, the food and beverage industry in the big consumer sector also performed well, with an increase of 3.09%, and many stocks such as Sunshine Dairy, Jiahe Foods, Lanzhou Yellow River, Kuaiji Mountain, and BESTORE hit their daily limit.
Two-way funds increase A-share positions
From the perspective of funds, both northbound funds and main funds increased positions on the 27th.
Wind data shows that on the 27th, the main capital inflow in Shanghai and Shenzhen was 1.464 billion yuan, a new high since September 6. 2073 stocks received the main net inflow of capital, and 2744 stocks suffered the main net outflow of capital. Among the first-level industries of Shenwan, the main net inflows of the main funds in the food and beverage, pharmaceutical biology, and power equipment industries are the highest, with 2.913 billion yuan, 1.536 billion yuan, and 994 million yuan respectively. The non-ferrous metals, basic chemicals, and national defense and military industries have the largest net outflows of major funds, which are 1.502 billion yuan, 509 million yuan, and 490 million yuan respectively.
In terms of individual stocks, Wuliangye, C Jiaocheng, Aier Ophthalmology, TCL Central, and Kweichow Moutai topped the list in terms of net inflows of main funds, 1.273 billion yuan, 716 million yuan, 497 million yuan, 408 million yuan, and 233 million yuan respectively. Tianqi Lithium, CATL, China Shipbuilding, Fosun Pharma, and China Mining Resources have the largest net outflows of major funds, with 350 million yuan, 271 million yuan, 250 million yuan, 192 million yuan, and 181 million yuan respectively.
On the 27th, the net inflow of northbound funds was 3.272 billion yuan, of which the net inflow of Shanghai Stock Connect funds was 2.530 billion yuan, and the net inflow of Shenzhen Stock Connect funds was 742 million yuan.
On the 27th, northbound funds significantly increased their positions in consumer stocks and lightened their positions in track stocks. Judging from the data of the top ten active stocks in Shanghai and Shenzhen Stock Connect on the 27th, Wuliangye, Kweichow Moutai, and Dongfang Fortune were topped by northbound funds, which were 637 million yuan, 554 million yuan, and 191 million yuan respectively. CATL, BYD, and TCL Zhonghuan were among the top lightened by northbound funds, with 466 million yuan, 438 million yuan, and 435 million yuan respectively. In addition, northbound funds lightened up Sungrow’s positions by over 400 million yuan.
Long-term allocation value highlights
Qin Peijing, chief strategist of CITIC Securities, pointed out that the current dynamic price-earnings ratio of CSI 300 has been equal to the level in February 2016, December 2018 and March 2020, the long-term allocation value is prominent, and the left signal of the market has initially appeared. Hold the position and wait patiently for the right moment.
“The current weak market volatility may continue for a period of time, but it is not advisable to be pessimistic about the medium-term prospects. Pay attention to maintaining flexibility, grasping the market rhythm, and focusing on structure. The follow-up of the growth style target may still fluctuate, and the style is an opportunity to switch to growth. We need to pay attention to the progress of overseas inflation and steady growth in China,” said Wang Hanfeng, chief strategist at CICC.
Lang Chengcheng, general manager of the research department of Furong Fund, said that in the medium term, hope is “growing”. The adjustment since the beginning of July has released the pessimistic expectations of the market to a large extent. In terms of the adjustment range in the middle of history, the adjustment range of each strong track in this round is relatively large, and they are all in the middle and back stages of the mid-term adjustment. The National Day holiday is approaching, and it is expected that the market transaction volume will remain relatively deserted. The industry configuration is gradually shifting towards growth, focusing on the military, semiconductor, photovoltaic, auto parts, medicine, consumption and other sectors.