Stamp tax halved, phased tightening of the IPO pace, regulation of shareholders’ shareholding reduction, reduction of financing margin share… On the first trading day of the implementation of a number of capital market policies “combined punches”, the confidence of investors in the A-share market was boosted, and trading The liveliness has greatly increased. As of the close on August 28, the three major indexes all rose by nearly 1%, and the market turnover exceeded one trillion yuan. Prior to this, the Shanghai and Shenzhen Stock Exchanges also announced a reduction in handling fees, and brokerages responded by lowering commissions simultaneously. Industry insiders said that with the successive introduction of relevant major policies, the capital market policies are already in a virtuous cycle, and the key to the recovery of the A-share market may appear.
All three major indexes closed up
As of the close on August 28, the Shanghai Composite Index, Shenzhen Component Index and ChiNext Index rose by 1.13%, 1.01% and 0.96% respectively, closing at 3098.64 points, 10233.15 points and 2060.04 points. More than 3,600 stocks in the two cities closed up. It is worth noting that following August 4, the turnover of the A-share market once again exceeded one trillion yuan, reaching 1.13 trillion yuan, which is also the highest level of turnover since August.
In terms of occupations, real estate, coal, non-bank finance and other occupations led the increase. Taking the Shenwan Primary Occupational Index as the statistical standard, the real estate, coal, and non-bank financial occupational indices rose by 4.38%, 3.07%, and 2.35% respectively on the day. Many individual stocks in the sector performed well. For example, Zhongnan Construction, Huayuan Real Estate, Tianfang Development, and Rongsheng Development in the real estate sector all rose by the daily limit; Xinji Power in the coal sector rose by more than 9%, Yunmei Power rose by more than 8%, Shanshan Coal International and Jinkong shares rose more than 6%. Except for the food and beverage industry index, the remaining 30 Shenwan first-level industry indexes closed up on the day.
The performance of the new shares on the day was outstanding. According to statistics from Wind, a reporter from the "Economic Information Daily" found that out of the 242 new stocks listed this year, a total of 166 closed up on the same day, accounting for over 68%. Among them, C Duopu Le, which was listed on the 28th, closed up by 78.57%, Hengda New Materials rose by more than 20%, and five new stocks including Huafeng Technology and Axiata Seiko rose by more than 10%.
Hong Kong Union Securities stated that the recent value style is slightly better than growth, but the structure has been differentiated. It is recommended to continue to pay attention to the areas that may benefit from expected changes in combination with the follow-up policy environment. Companies that have recently actively announced repurchase plans and semi-annual reports exceeded expectations It is expected to be valued by the market. At the same time, pay attention to the value style in stages, and pay attention to individual stocks whose performance may exceed expectations during the semi-annual report.
Coordinating the balance of primary and secondary shopping malls
Previously, on August 27, a number of "combined punches" for active capital market policies were launched intensively. According to the "Announcement on the Half Collection of Stamp Duty on Securities Transactions" issued by the Ministry of Finance and the State Administration of Taxation, in order to activate the capital market and boost investor confidence, starting from August 28, 2023, the stamp duty on securities transactions will be halved. On the same day, the China Securities Regulatory Commission also launched a series of measures, which involved gradually tightening the pace of IPO and refinancing, regulating the reduction of shareholders' holdings, and reducing the share of financing margins.
Among them, in terms of coordinating the balance of the primary and secondary markets, the China Securities Regulatory Commission announced that it will fully consider the current market situation, improve the counter-cyclical adjustment mechanism of the primary and secondary markets, and focus on a reasonable grasp of the IPO and refinancing rhythm. Mainly include: According to the recent market situation, gradually tighten the pace of IPO, and promote the dynamic balance of both ends of investment and financing. Focus on supporting the good and limit the bad, and appropriately limit the financing distance and financing scale of listed companies that have broken their fortunes, lost their net worth, continued to lose money in operating performance, and have a high proportion of financial investment. Guide listed companies to reasonably determine the scale of refinancing, and strictly implement the requirements for financing intervals. The review will focus on six aspects, including whether the previous funds solicited have been fundamentally used, and whether the projects previously collected funds have achieved the expected benefits.
Stamp duty cut in half is an important policy signal. On the one hand, the stamp duty was not lowered in both 2015 and 2018, but the choice at that time not only shows that the importance of the capital market has increased significantly, but also means that the capital market is more responsible for stabilizing the overall economic and social situation. On the other hand, the cross-ministerial collaboration work previously carried out by the China Securities Regulatory Commission is expected to be substantially advanced, and the certainty of medium and long-term funds entering the market has been significantly enhanced.
Chen Guo, Chief Strategy Analyst of China Securities Securities Co., Ltd. also believes that the current policy signal is significant, and the regulators support A-shares, activate the capital market, and boost investor confidence. At that time, the market was in a period of intensive implementation of policies, and the three arrows of the policy significantly exceeded market expectations, and the market's short-term confidence was expected to be significantly boosted.
The active signal of the capital market is strengthened
"China's internal cyclical upward momentum will become the dominant factor, which is expected to lead the A-share and Hong Kong stock markets to outperform." Nord Fund Manager Xie Yi told the "Economic Information Daily" reporter that looking forward to the future, the domestic economic growth The recovery will continue, and economic growth will accelerate. At the same time, the correction of the fundamentals of A-shares will become the dominant factor in the market, and the external high interest rate environment has been fully reflected in the current price, and it is expected to reverse in the future, thereby boosting A-shares and Hong Kong stocks. Optimistic mood.
The strengthening of policy at that time, on the one hand, helped to directly boost market confidence, and on the other hand, it also strengthened the active signal of the capital market policy, helping the market to solve long-term problems such as "introducing fresh water from the source, reducing transaction costs, and improving transaction smoothness". Breakthroughs have been made in the field, and various ministries and commissions have been promoted to form a joint policy to promote the vigorous and steady development of the market in the medium and long term. The accelerated implementation of a package of policies by the China Securities Regulatory Commission is conducive to strengthening the counter-cyclical adjustment mechanism and promoting the business expansion and power improvement of high-quality securities companies in the long run.
At that time, the policy was in the period of implementation, and the economy was expected to improve month by month; the wave of repurchases and self-purchases indicated that the characteristics of the bottom of the market were becoming more and more obvious; since August, the outflow of northbound funds was close to the peak in five years, and the monthly net purchase of ETFs hit a record high. A new high in 6 years; at that time, A shares already had the annual equipment value.
In terms of foreign capital, this round of foreign capital outflows has been close to the average level of the past five times, reflecting that negative factors have been more fully digested. At that time, the policy of stabilizing growth was continuing to increase. In the second half of the year, as my country's policy came into effect and the economic cycle bottomed out, the economy and earnings expectations are expected to pick up, and the market will return to fundamentals.