Kicked off a large counter-offensive (with shares)

 Opened a large market rebound off the offensive yesterday by the two cities
broader market today, both the broader market fell, short-term oversold technical indicators of the internal and the Fed cut interest rates to rescue the market impact of external factors, out of a significant rally, Shanghai stock market rose 143.30 points recovery of 4700 points. today that a rebound in huge candle, announced that the broader market has bottomed out, the prelude to a large counter-offensive from market opened.
I made the judgments are based on the following reasons:
one continuous sharp decline a counter-market to free up space. Shanghai in just six trading days the broader market slid more than 980 points maximum, the rate reached 18%, severe short-term oversold the broader market, there is a technical rebound request. As our country's macro fundamentals and the foundation did not like the U.S. bull market as signs of a recession, the recent sell into the human factor of the irrational majority. The market senses the process of action is to continue the bull market.
Second, the market focus has been clear. Today, a remarkable disk to do more kinetic energy the concept of science and technology sector and venture capital is once again the overall start. The market has been a recent hot plate, obviously, involved in incremental funding. This market is expected to extend the plate. The market has been hot there to make money effect, there will have to make money effect popularity, so there will be a rise in the broader market momentum.
Third, the overall index stocks stabilized and began to rise sharply. Today, in addition to the Bank of China because of suspension Budie factor, other index stocks rose in varying degrees. As indicators of stock The adjustment is hardest hit, falling rate has been great, and then the kinetic energy of a substantial short basic failure. now they started ended up on the stability index of adjustment and people is essential.
fourth is to maintain a high level of turnover, Trading was active. Change the stock ratio of 1:0.16 between the two cities. the two cities are 101 non-ST stocks daily limit, closing 218.6 billion yuan, with basically the same as previous. These data suggest that the rise in the broader market today are benign.
Fifth, the external market is expected to gradually get rid of the shadow of pre-made, and on the A-share market has a positive traction.
Based on the above analysis, the author because, basically proved the market's bottom. While not excluding the tape afternoon there will be repeated, but Quotes counterattack Exposure Changyang birth index jumping up and down the bottom of
Wednesday, volatility, but in the end to end transaction Changyang. KLCI deep, into the means, 300 Index and the SME board index of near 5% gain in stock index since the weight boss of oil rose only 3% drag, but the main plot full day of trading of the basic exposure, short-term bottom in the quietly formed in Changyang.
Why do today is undoubtedly the main movements of exposure?
yesterday after plunging in, though Most agencies bearish market outlook, but a unified view of all short-term bounce, or can do, in most of the funds waiting to open lower today under the blaze low inertia when the chips,UGG boots cheap, the two cities have seen a higher open, it is generally not expected established. Maybe the U.S. market today opened higher positive stimulus to rescue the market, but the main upset everyone's expectations reasonable. high-open admission of natural short-term funds to continue to rebound, stock instantly pushed to 4700 points, yesterday dare access to short-term gains or buy the chips began to flee, the Bank of China Budie insurance stocks have been under the stock actually fell below the panic low yesterday, close to 4,500 point mark, the market once again pessimistic. However, after midday we found that the recent slump Ping culprits are financial concerns, and instantly pulled up 3%, CPIC record high in early trading, securities and insurance stocks generally enlarged market leader, so we have to judge a bullish signal, stock index rebounded, and then came the positive approval of new funds news, the market is active across the board. think about all U.S. stocks stumble endlessly the outlet of the policy to rescue the market, A-share market by the management of the natural high degree of attention, soaring is not normal, are yesterday's plunge to normal? and Regardless of the Fund approve the message true or false, good reflection of the care management market. the main force that did not let short-term visitors in the morning to get cheaper chips and short-term profits across the board cleared the chip and can not not smart, and Yao City's rush disk also 4500 points for a short description of the possibility of greatly enhancing the bottom.
experienced a slump surge, investors had put to the test, certainly more mature, understanding and prevention of risk will be better. Changyang appears, index shares also need to slowly regain their strength, so the height of the stock do not have much hope, deep KLCI, into a means 300 Index and the SME board index covering the first target of course, is a huge upward gap, and for stock index consideration in terms of oil continues low-key, objective should be near the point in Zuorikaipan. Since the market started to flatten, flatten it Bodong rate would be the next hot spot can be seen from some of today's daily limit on-board traces, first, second, food and beverage 3G Third, small home appliances panel four agricultural fertilizers. (Wu Han)
CBBC mainly to see the two key battle points
Abstract: In the external context of the general decline in the stock market is considered A-shares closed markets also failed to escape the fate of collapse; just a few trading days, A shares have been the biggest decline in nearly 20%. It is natural that such a terrible market crash will inevitably cause controversy: The bull market has shaken the foundation of it? bull market The key to the turnaround point of it?
one, mainly to see the battle CBBC two key points
general fall in the external context of the stock market is considered A-shares closed the market failed to escape the fate of collapse ; just a few trading days, A shares the biggest decline in nearly 20%. It is natural that such a terrible crash the debate will inevitably arise in the market: the foundation of the bull market shake it? bull market is the key to a turnaround point?
this column that the current dispute Contracts are mainly concentrated in two areas, the first aspect is the understanding of China's economic development prospects. Currently, the domestic economy from the perspective of mainstream understanding of A shares, should be cautious optimism bias. They believe that a hard landing for the domestic economy is unlikely, but somewhat lower growth rate. First, under the impact of the subprime crisis, the world economic slowdown may be larger than market expectations, and thus China's exports some impact. However, given the proportion of GDP, net exports is not too large (10%), so the negative impact on exports is limited. Second, the domestic aspects of management of 08 primary task is to fight inflation, while the fixed asset growth rate of the control pressure is not great. So, as long as the inflation rate to suppress the growing momentum, then the credit control in the second half will probably be relaxed.
That is, if starting from the fundamentals, the market outlook situation still not too pessimistic. It is worth mentioning that the current market valuation in 2007 is about 30 times PE, as long as the profitability of listed companies in 2008 reached about 30% growth rate (ie, PEG = 1), then the current Valuation levels are still considered reasonable.
CBBC second aspect of the war mainly in terms of liquidity. the famous economist, said Gao Shanwen, the current bull market background and 80 years of bull market has similar characteristics to .1985 1990 dollar, large capital outflows into the United States to other developed world economies, resulting in these economies such as Japan, France, Finland, Spain, Germany and other countries of the asset prices and inflation pressures. In fact, excess liquidity and promote appreciation of the renminbi revaluation of assets, is the biggest bull market characteristics.
subprime crisis, central banks around the world have invested large amounts of cash to the market, triggering market concerns about the current global liquidity. column that if the global market (including the A shares) into the medium-term adjustment from the most direct reason is that the tightening of global liquidity. On this issue, this column's view that the most worthy of the high Shanwen reference. He said,
A bull market in the second half, mainly from the mobility of global capital flows and the banking system, the credit creation process active. to global capital flows, in terms of medium term impact on China's capital market should be positive; and credit facilities, January this year, credit is still no sign of loosening, but the stringent credit control should not be sustainable.
Second, the market adjustment which sections of concern
can see from the above analysis, 08 in China economic growth will likely maintain a high level, that is, the bull market should still not shaken the foundation. Thus, the remaining problem is that the tight liquidity loose, it will cause large swings in stock. In this context We believe that growth is better medicine, electronic information, chemicals, new energy and other sections of the stock market in the future still a concern. Among them, the medicine, the current blood products and vaccines in China, such as in vitro diagnostic reagents and equipment sub-sectors develop rapidly, the growth rate of 20% or more. and in higher margin of therapeutic recombinant proteins, monoclonal antibodies, gene therapy, and gradually made some breakthroughs. In other words, the child's prospects for bio-pharmaceutical industry optimistic.
aspects of electronic components, according to past experience, the semiconductor industry cycle is 4 to 5 years, the current industry is in boom cycle of a new round of start-up phase. It is worth mentioning that every year 07 venture capital the type of institutional investors, the broad IT sector is still far ahead of other industries. In other words, the introduction of the GEM in terms of science and technology sector will be a great good.
chemicals, new energy, the coal chemical industry ( methanol, dimethyl ether), wind energy is the current new energy, alternative energy, the most technical feasibility and economic viability of the two, related to listed companies should focus on. (Guangzhou Bandung)
strong rebound in the stock market short-term inertia ascribed
news of: the Federal Reserve cut interest rates 75 basis points
emergency to prevent the collapse of financial markets and economic recession, the Fed has taken emergency measures to cut the overnight call rate by 75 basis points to 3.50%. This is The Fed cut rates since the 1980s, the largest one. Federal Open Market Committee said in a statement, and other overseas markets rebounded sharply, directly stimulate the A-share market's strong rally.
12 at the end of last year, China has gone through 6 and 10 interest rate increase raised the deposit reserve ratio, while some of the high energy-consuming products export tax rebate has been canceled, while continuing to conduct a serious investigation of new projects. to the third quarter, GDP 11.5% year on year growth remained, until the economy overheated conditions have eased in the fourth quarter, is expected to boost annual GDP growth rate down. But high prices has been unable to complete remission. in grain and pork prices, driven up from last January's increase of 2.2%, to November up 6.9%, CPI rise in the trend line appears, almost a month test the market psychology in the bottom line. The stock market just experienced pain, even if the data tomorrow adverse impact on the market that is also very limited.
capital side: LED oversold stocks have led the way by the news of the daily limit
, skills, environmental protection stocks early lead in a strong rebound, Tongji Science and Technology (600846), the United photoelectric (600363), amplification A, Zhejiang Sunshine (600,261), Snow Wright and so have the daily limit, and other related stocks also had an outstanding performance. energy saving concept is a future trend , which also contains a large number of stocks the investment opportunities. demonstrate a strong agricultural sector in the morning, Granville shares (600,438), Xinzhong Ji, the Great Northern Wilderness (600,598), Shunxinnongye (000 860), Fengle Seed (000 713), and other home limit agricultural sector, with the broader market this adjustment, the market of agricultural sector profitable cleaning chips, investors are expected to attack again. On Wednesday there were two new listings, N National Unification, N Haley had gains were 316.78% and 124.71%. Deep high CWB1 (580014) rose in 15.17%. Today there are hundreds of individual stocks between the two cities combined daily limit, including energy and agriculture stocks in addition, the other most of the acts are oversold bounce. such as Amoi Electronics (600,057), Tibet's development (000,Bailey UGG boots,752 ), Shen Shenfang and so on. oversold stocks rally will continue. In contrast, the performance of a low profile front-line blue chips, PetroChina (601857), Sinopec (600028), China Shenhua (601088), and other gains are small, the recent performance of blue chip companies have been relatively mild, so impatient investors do not recommend participation in such stocks, long-term funds can bargain layout. fall standings to see, in addition to resumption of the Yellow River in Lanzhou (000929) and Jiangxi Copper (600362) The daily limit for Budie, other stocks adjustment is not significant. Of course, there are still parts of ST segment limit, such as ST males earthquake (600711), * ST Yellow (600579), * ST Tong Branch, ST, etc. in the highest A , this part of the stocks investors should pay attention to avoid.
technology areas: short-term stock index finished lower
possible through continuous slump in the stock market index finally returning to the rally on Wednesday welcomed. a strong rebound in the stock market around stimulation, the two cities on Wednesday morning, opening presents go situation, but the mentality of the market Chichou unstable Shanghai Composite Index once again broken the recent intraday low of shocks in the stock index higher after a record low, turnover also appeared enlarged, short-term market strength has been established. from the market to see strong features, ascribed to short-term market will continue to inertia. However, due to market movements around the unstable part of the lock-plate has helped temper the desire to lighten up, therefore, may re-stock index shot up after the shock. In addition, the two cities were left upward gap, multi-attack will lead to a gap near the shock. from the volume point of view, there has been no significant changes in the market hands are still relatively full, long and short of the competition is still fierce, it also exacerbated the market outlook, the possibility of shock.
together, a strong desire to market stocks rebound, investors can participate in some oversold stocks rebound, can also have stuck with the stock to cover short positions in the low moderate, low cost sharing. ( Wuhan New Land)
hunters this is a great opportunity to conduct long and short trends
basic balance on Thursday, arbitrage, long dominant force, is expected to continue to shock the market rebounded on Thursday or Friday recovered 4800 points After the short-term or accelerated the impact of 5000, but long-term trend of the Shanghai index is not optimistic. in the small cap growth stock market has withstood the test of a brutal whipsaw, investors will be independent of the broader market trends, opportunities continue to do more.
market trends Prediction: bottom Yang Xian Although there is no rebound to break the long downward trend, but the next to break the trend as possible, trend traders tend to wait a short time, the trend behavior of the basic balance between long and short; the carry trade is relatively low in the current approach do more, forces long dominant on Thursday arbitrage is expected to continue to shock the market rebound.
4800 points on the Shanghai Composite Index was recovered before the trend again, the possibility of relatively large upward shocks; Thursday or Friday to recover 4800 point, the impact of short-term or accelerated 5000. The Shanghai Composite Index can not be optimistic about the long-term trend.
practical strategies: the first half of 2008 Index heavyweights drag by the performance is not necessarily beautiful, but in the small cap growth stocks suffered a brutal market whipsaw the test, having a chance to continue, investors in growth stocks may be more active.
inflation, stocks subject to short-term impact of policy and technical correction, long-term strength of the trend will not change, adjustment is is a good opportunity for bargain hunters; grow another clue is the theme of the reorganization of assets, pay attention to grasp the various types of bargain opportunities to re-stock. blue chips as the 07 most popular species, 08 have been exhausted, even if the prices of which also only individual stocks, sector no longer strong.
perspective of market behavior and the behavior of the main factors of psychological fundamentals and policy news of the market trend. China Banking Regulatory Commission and China Insurance Regulatory Commission sign Memorandum of Understanding on regulatory cooperation across industry investment in commercial banks gates open .. the insurance company, said yesterday that the Ministry of Commerce, labor and other cost factors by the impact of domestic consumer prices during the first half of 2008 will continue to face upward pressure on the national coal inventory approaching the warning line .. just enough to maintain peace in China 7 days .. is likely to raise funds for overseas acquisitions, the object may be the veteran British insurer Aviva (Aviva) and Prudential Financial Group (Prudential) .. to fight the recession, the Fed emergency rate cut of 3 basis points or 0.75%, it is possible in the next meeting to discuss interest rates lower and lower by 0.5% on the Fed's emergency rate cut yesterday .. to 3.5%, China's current one-year benchmark deposit rate was 4.14%, the official U.S. interest rates have been inverted. today's opening, to open 206 high against the dollar point, the dollar was 7.2350 yuan against the yuan central parity.
long: by the end of 2005 so far, the Shanghai index rose from 5,000 points 1,000 points, or more than 5 times. Interim: index of mid-6100 from 10 points down to early December More than 4,700 point rebound, and then peaked at more than 5,500 points down. Short-term: the market crash two days after the strong rebound in the card 700 index rose 5.4%, the Shanghai index rose 3.14%. the two cities a total of 91 non-ST stock trading board, turnover remained at a high level. all kinds of investor psychology and behavior of long-term investor behavior is Zhuanru recession global economy, domestic prices fell, foreign trade may be the turning point, tight monetary policy, raw material prices rise, prices of finished products to be strict control policy, multiple factors determine the growth performance of listed companies in 2008 will slow sharply, the bull market foundation has been shaken. In addition, Game level, the value of the stock market soared after the cash price pressure from increased large, A-share market long-term trend is not optimistic. Game level, a huge decline in the market short term, but for the long-term investors, plunged head long after the more uncertain, the stock is still at the top of the regional long-term, to promote more and more long-term investors rebound in the afternoon to leave the course open, therefore,cheap UGG boots, having a rebound during the upward pressure, 6100,5500 a double top is very likely.
column yesterday that short-term speculative behavior : stock trading board, turnover remained at a high level, indicating that the plunge a few days does not make short-term speculative long lost confidence in the small cap growth stocks after this post will be a major Xipan opportunity to perform well.
organizational behavior Fund sticking position and actively bargain-hunting behavior is a strong rebound in the market on Wednesday, the basic conditions. market swings, increased differences between long and short, institutions and agencies can be expected between the Game will be more intense, stock market differentiation will be obvious, part of the stock by suppress the long-term behavior of institutions lighten up, institutions favored by the growth of some support for stocks will be out of the market independent of the market.
conduct retail market swings, the individual investors have a wait and see period, not many retail investors on Thursday, the courage to participate in do more, lows do not need much more power to promote. the index down some deep shock after another refused to follow the trend of retail long will gradually return to the market, long a flow of returnees is expected to retail in the index recovered 4800 points, the time Thursday or Friday.
trend behavior of the long bottom Yang Xian Although there is no rebound to break the downward trend, but the next is possible to break the trend, trend traders tend to wait a short time, the basic balance between long and short.
sets After the collapse behavior of the majority interest in a relatively low stocks, arbitrage traders buy the dips do more, long power larger. Comprehensive Pupil Behavior: panic selling process is complete, without breaking the downward trend before the trend traders wait and see, the carry trade in the The current relatively low them to do more. is expected on Thursday or Friday after the Shanghai index back to 4800 points, a large number of retail bulls will continue to push up the market return. (Guangzhou Bandung)
sword easy road of opportunity in the end in mm08 Where?
in the context of the global stock market crash, the Chinese stock market is also difficult to escape. Yesterday, investors in China is relatively sad day. night a friend sent me a text message:
today met an friend, asked him: , and then up crying for an hour. sleep for an hour, an hour up and cry. , decreases far beyond people's imagination. used to say that the Chinese stock market investors is the policy of the city, this time think of: I hope that policy to rescue the market!
policy control the stock market, we will consider the policy interfere with the stock market. The stock market is not good , we want to bail out the policy. that we still depend on the policy. So as investors, this time we finally understand why the farmers had a good harvest in time, always say: ! earn some silver, after two days of the broader market slump, it is estimated how many of the remaining free. end of the year, all aspects of accounting: It is reported that in 2007 the average broker profit 1.7 billion each. a substantial increase in transaction tax, state tax revenue in the stock market also a record. listed it, as long as peace is not as greedy as China, even if the proportion is planned to high reducing state shares, legal person shares, and then seize the opportunity, Daoteng point of restructuring, the overall market, asset injection, issuance, bond issues and the like , listed companies will also have the gusto easy life. not to mention investment funds, such a big bull market, the money for them to have as many. not a re-issue! Anyway, money is not their own, done too calm. how much are wary of buying stocks! big grind? not afraid! great fund their Baotuan, Baotuan heating, inaction is definitely a good way to deal with the cold. or it, crash it! you Naiwo He! Moreover, fund managers are now busy! year bull market down, happy. how much each of the sub? how much? themselves have little calculations. money to the satisfaction, did not have to say, it should be. for less? money go, go private! such a big bull market, but also unhappy customers?
rest is a large population of investors friend. they are most difficult and most hard-working, regardless of bull and bear markets, and regardless of wind and rain thunder and lightning, they do not willing to rest the stock market in pursuit of their ideals, can be said that there is life, striving. I want to say is this: To the New Year, and the rest friends. for taking the time to find a calculator to see big year bull down, earned how much? how much loss? do not write their own integrity as the br> broader market plunged, the days have been! this fall, also told us: look more like a muscle, or a tone to call more than sing, how terrible! but only tighten the neck shouting empty see no meaning empty! stock market is this: People know who won the lottery, is a lucky handful of people, but does not affect the enthusiasm of people to buy lottery tickets. invest in stocks, for some people, it is a job ; For some people, is a cause; for some people, it is a dream! But, of course is: they are all good people, the pursuit of the people. They are relying on their own diligence and wisdom, in the stock market hard with this land. As long as stock market prices, a rising stock, there is hope. to find someone in the stock market is their dreams. So I think: whether the stock market rise and fall, are should be a rational face to face ..
stride big grind after this storm, we realized: the broader market in which high valuation of the stock price high, the overall high price-earnings ratio, etc., the risk is unmistakable . but similar to the U.S. index increases. then the value of 07 blue-chip oriented, it seems anachronistic. Then, in 2008 the market opportunity in the end there?
I think: in 2008 the stock market will be the sword easy road: low price, subject matter, opportunities for more growth stocks.
see Shanghai's stock of local cap, lower right: how today's up?! Asia through shares (600,bailey UGG boots,692), leading shares (600,630) after the first limit, Tongji Science and Technology, Founder Technology, All in Science Hill, Fudan Fuhua, L. Chiao Tung University, National Chiao Tung University Southeast Asia and a number of subject shares have been low limit, the latter also followed a similar low number of subject shares rose sharply, proposes a focus on application of shares (600,626), Tin Chen shares (600,620), Shanghai nine hundred (600,838) Oriental Venture (600,278), Gerber Group.
Shanghai and other local cap, lower is the difference between high-priced stocks: Shanghai local cheap subject shares market every year a good band as long as you involved in the timing right, Shanghai is very seldom sets the local share of people. However, once fitted with many high-priced stocks, it will set the ado.
SME board, is another section I like groups, Express recently announced results, the performance of a small board stock growth has been visible. For many stocks, there is no sharp fall in the accident, many small board stock is also difficult to see the current low price, which is band operation opportunities. proposes a focus on and compare the three steel Min light (002 110), Shandong Ruyi (002 193), Xinghua shares (002,109), new science and technology (002127).
Also: I think the two cities in 2008, B shares may be there will be a big opportunity. (leaf Philip) b) how to make 2008 fighters?
capital flows and the hot plate forward (1 / 23)
Abstract: The turnover of the two cities today is 218.67 billion yuan, more than reduced by about 19.35 billion yuan yesterday, the net inflow of 13.3 billion. Today the Shanghai index appeared in the Sun is expected to rebound in the two cities daily limit of 99 stocks, two stocks hit bottom, the Shanghai index rose 3.13%, to close at 4702.5 points . yesterday that The outlook should be thrown out the main rallies, the proposed holding money for the New Year , the current definition of the C-band nature of the rally in wave 2.
financial transaction Today, the top five are: real estate, non-ferrous metals, quasi-finance, banking, chemicals.
net inflow of large blocks of funds: Bank (+10.2 billion), venture capital (+9.8 billion), chemicals (+8.2 million), liquor (+6.7 million).
mid-afternoon hot plates are: chemical industry, agriculture
short-term hot plates are: liquor, food, venture
1. the real estate section: the plate to follow the broader market rebounded today, net inflows of about 4.8 million. large net inflows of stocks are: Ingenious, East Lake High, Guanghuigufen, Huafa, Zhangjiang Hi-Tech, Jinbin Development, North Star. The plate is expected to report good results, having a stake, to throw the main rallies.
2. steel plate: the rebound of the plate today, stronger than the broader market, still shares to be cast, net inflows of about 4.8 billion net inflow of capital larger stocks are: Wuhan Iron and Steel shares of Hunan Valin Steel, Handan Iron & Steel, Tangganggufen, Baotou Steel shares, Nanganggufen.
3. non-ferrous metals plate: the plate rebound today underperform, net inflows of 1.8 billion. large net inflows of stocks are: Yunnan Copper. The plate is expected to report results better tomorrow or the day there is compensatory growth opportunities.
4 . Liquor: Today, the sector led the broader market, net inflows of about 678 million, investors can be short-term interest. stock a large net inflow of funds are: gold seeds alcohol, Maotai, Tuopai Liquor, Wuliangye, Shuijingfang, Gu Yue Long Shan Changyu A.
5. Chemical: Today, the rebound of the plate better than the broader market, leading shares have hit a new high, investors may continue to float. net inflows of about 820 million. large net inflow of capital stock are: red sun, Blue Star New Materials, Hubei Yihua, Hing Fat Group, Xin shares, Shandong Haihua, Yuan Xing Energy, Yueyang Xingchang, Salt Lake Potash, Yu Sanxia A, double-loop technology.
6. Food: Today the plate led the broader market, net inflows of about 510 million, investors can be short-term interest. stock a large net inflow of funds are: the grain Tuen River, Xinzhong Ji, Zhangzidao, good masters, SDIC, Shunxinnongye .
7. venture capital: today the sector led the broader market, net inflows of about 980 million, fell before the plate is very strong, investors can be short-term interest. stock a large net inflow of funds are: the public utilities, power United shares, leading shares, purple stock, Qianjiang Water Resources, Guangdong Provincial Expressway A. (Guangzhou Bandung)
Banking: attractive valuation recommended four years leading shares
2007 has achieved remarkable growth of banking sector Year:
listed banks during the 6 to promote the banking sector significantly increased the weight, size and listed banks profitability of the business more fairly significant improvement.-than-expected profit growth to become the decisive factor in promoting the stock price higher.
remain firmly optimistic about the banking sector's performance in 2008:
unprecedented power despite macro-control efforts, continued accumulation of external risk factors, but because (1) 2007 release of the lag effect of raising interest rates will further enhance the bank profitability; (2) new Bank net profit to average growth of 50.13%.
in individual stock options, and should respect the five criteria:
(1) less affected by the macro-control; (2) significant gains in the effective tax rate decreased; (3) allocated Provision for potential feeding equipment; (4) enhance the potential for significant net interest margin; (5) attractive valuation.
We recommend four banks:
(1) Shanghai Pudong Development. the bank was the effective income tax rate Provision for pressure drop and the release of provisions, and has a huge local advantages, expected net profit growth of 93.7% in 2008. (2) China Merchants Bank. up to 56.8% of demand deposits accounted for a greater benefit from interest rate increase effective in 2007 lag release. provision release potential. expected net profit growth rate of 65.27%. (3) CCB. less affected by macro-control. demand deposits and the high proportion of long-term loans, net interest margin will be further enhanced. Valuation more attractive. (4) ICBC. less affected by macro-control. demand deposits and a higher proportion of long-term loans. a comprehensive and integrated business layout, leading the strategic vision. valuations more attractive.
I. the development of banking sector in 2007 review
1, further strengthen the market position of the banking sector
2007 years is unprecedented in the A share market to play the role of the year. This year, there have been six banks in the A-share listed , including the heavy weight of the China Construction Bank, Bank and CITIC. banking and market capitalization in Shanghai and Shenzhen 300 in the proportion of the total market value of 16.46%, respectively, and 29.42% .2007, banks remain synchronized with the broader market higher , especially in the 4th quarter of the adjustment, stabilizing effect on the broader market is very conspicuous.
2, the rapid expansion of business scale to improve the bank listed
incentive structure for banks for the development of a more ...