People'S Daily: A Stock Market Is More Important Than Bailout.

In September 9th, the last trading day of the mainland stock market before the Mid Autumn Festival, although the economic data released slightly warmer, the Shanghai and Shenzhen two cities collectively opened high, both fell.

The best economy is the worst stock market.

Since April this year, the mainland stock market has been on the decline. In August 9th, the Shanghai Composite Index dropped to 2437.

Some people say that the stock market is the "weathervane" and "barometer" of the economy.

However, reporters noted that although the market is eyeful green, but the performance of listed companies semi annual report is quite bright.

Statistics show that in the first half of the year, Shanghai listed companies achieved a total operating income of nearly 8 trillion and 260 billion yuan. Of all listed companies in Shanghai Stock Exchange, 806 companies were profitable, 116 were losing money, and the number of loss making companies decreased by 4 compared with the first half of last year.

On the policy side, despite the good news from the government, we have increased the number of SMEs and private enterprises in the corporate structure.

From the periphery market, over the past year, stock markets in the US and Europe have been running high.

It can be said that when the global stock market is booming, the A share market is weak, and A shares remain weak when the global stock market is depressed.

Hu Yuyue, director of the securities and Futures Research Institute of Beijing Technology and Business University, told our newspaper reporter: "the economic phenomenon in the past two years has a strange characteristic. Almost all commodities are going up in price. Only the stock market does not rise. The mainland stock market, as an important part of the global market, is affected by the outside world, but it always keeps up with it.

Especially in the first half of 2010, China has the best performance in the global economy, but the Chinese stock market in the global stock market is very poor. Even in comparison with other emerging economies, the performance of the Chinese stock market is also terrible, which is really hard to explain.

The stock market downturn hurts the economy.

Investor confidence is the foundation of the development of the securities market.

According to the insiders, the performance of China's stock market has been poor in recent two years, and there are reasons for economic operation, including fluctuations in monetary policy, increased regulation and control of real estate, and the rapid pace of issuance of new shares. But even so, the A share market is not so bad.

Professor Han Fuling, director of the Department of Applied Finance and Professor Han Fuling of the Department of Applied Finance of Central University of Finance and Economics, told the reporter that a big problem facing China's economy is high inflation. Although the CPI in August is 6.2%, the ring ratio has fallen down, it is still above 6%, and the resident deposit is still negative interest rate, which poses a great threat to economic growth.

If inflation can not be effectively curbed, it will affect the stamina of economic development, and the anticipation of policies such as raising interest rates and raising the benchmark will make the stock market lose momentum.

"We should see that China's banking system has attracted most of the deposits of the people. The money is retained by the people as old-age, education and other security, and will not easily enter the stock market. Although the mainland claims to have 150 million shareholders, the real active accounts are also 34 million households, and a large number of funds are tightly locked.

Therefore, relying on limited stock funds in the stock market to turn around, low volume, lack of stamina, the downturn of the stock market can not even make money effect, attracting no incremental funding.

Han Fuling said.

"China's stock market has never been short of funds. Why can't it attract funds?"

Hu Yuyue said, "the most important reason is lack of confidence, and we dare not throw money into the stock market."

To rule the market is more important than saving the market.

According to the insiders, the rule of the market is much more important than the bailout, and the results will be much greater.

Only by regulating the market can we truly enhance investor confidence and attract more investors to form a positive wealth effect.

Han Fuling believes that at present, we must strictly grasp the quality of listed companies, stop listing and financial fraud from the aspects of issuance, listing and disclosure, and establish a mature and sustainable underwriting pricing mechanism. For example, why the bubble is so large at the beginning of the establishment of the gem is that the price earnings ratio has been set too high. From the regulatory level to the listed companies, we must strengthen management and formulate more perfect rules of the game so as to give full play to the role of stock market resource allocation.

Hu Yuyue pointed out that, first of all, from the present point of view, although the stock market is hovering around 2500 points, the market value of the upper class stock market has exceeded the market value of the total capital stock at more than 6000 points. In this sense, the issue of new shares should grasp the rhythm and slow down. Second, A shares reached more than 3000 points this year, but failed to break through the key points.

He believes that even if it can not rise to a higher level, it can be increased from 2500 to 3000 points, which is also a great encouragement.

Therefore, the SFC should take effective measures to stimulate institutions to increase their positions.

Third, saving China's stock market needs both symptoms and symptoms.

This year is the beginning of 12th Five-Year. In the period of China's economic strategic pformation, improving quality is more important than increasing quantity. China's economy and China's stock market also need to boost the stock market to inspire confidence in the future growth of China's economy.