The Bull Market In China'S Stock Market Will Show A Structural Market.

Since July, with the double effect of reform expectation and economic data warming, China's stock market has gained popularity and its stock index has been gratifying.

By the end of October 15th, the Shanghai Composite Index rose nearly 16% in the three and a half months, and the other major stock indexes also rose by more than 10%.

The rise in the index is a boost to investor confidence.

According to the survey released by China Securities Investor Protection Fund Limited in October 6th, the A investor confidence index for September was 70.5, rising for the 4 consecutive month, and the confidence index and stock valuation sub index reached the highest level since the April 2008 index was founded in September.

At the same time, the stock market investors have changed from "early selling tide" to "opening up hot", not only domestic investors, but also overseas institutions have shown higher enthusiasm for A shares.

China securities registration Clearing Corp statistics show that in September, qualified foreign institutional investors (QFII) had been opening new A share accounts for thirty-third consecutive months.

So far, the total number of A stock accounts of QFII has reached 764, of which 164 are newly opened this year.

Looking back on the situation this year, there is no doubt that confidence and expectation of reform are the primary driving force for the stock market up.

Since the third Plenary Session of the 18th CPC Central Committee, the party has abolished the administrative examination and approval matters, formulated the overall reform plan of fiscal and taxation system, eased financial market access, opened the floodgates of private banks, launched the pilot reform of central enterprises, and made public car reform.

These reform measures let people see a more dynamic and striving China.

The reform not only brought the confidence of the economy to good, but also injected vitality into the stock market.

Big data, cultural media, Internet finance, mobile payment, new energy, high-speed rail construction, 3D printing, Shanghai free trade area, state owned enterprises reform, Shanghai and Hong Kong pass and other concepts are active, and have become hot spots in the market. These are closely related to the direction of economic development and Reform policies.

In the near future, the stock market has been in a state of concussion after the previous continuous rise, and economic data is becoming a key factor affecting the future market trend.

On the 15 day, the National Bureau of statistics released PPI and CPI data, of which PPI grew by 1.8% in September, a negative growth rate for thirty-first consecutive months, a 0.6 percentage point increase from last month, and a 1.6% rise in September compared with last month, the lowest since February 2010. CPI

Although the market has already expected the economic data downturn, but after the release of the data, the market fluctuated due to the fall with expectations.

Parties to the market

The differences increased.

Some agencies believe that, at present, the expected benefits of the reform have been reduced, and the market's prediction of the economic fundamentals is still in the downward channel. With the announcement of the three quarterly report, the earnings growth rate of listed companies is down to a large probability event, which determines the upward pressure on the stock market.

The near future

Performance also has an impact on A shares.

By the US economic data lower than expected and investors' concerns about the global economic growth prospects intensified, in recent trading days, European and American stock markets were shakedown, and on the 15 day, the whole line fell.

In view of the domestic stock market, market sentiment is still very strong.

The latest data released by the insurance fund show that in from October 8th to 10th, the increase in the amount of the paction settlement fund in the securities market was 250 billion 200 million yuan, with a decrease of 169 billion 100 million yuan and a net pfer of 81 billion 100 million yuan.

Such a large turnover means investors keep a high level of heat in the stock market.

At present, despite the future of all sides

There is still controversy about whether to "walk cattle", but there is no doubt that reform and economic pformation are always the two main lines of investment in this year's capital market.

The stock market, whose main function is to optimize the allocation of resources, not only reflects the process of China's industrial upgrading and economic pformation, but will also play a significant role in boosting it.

It can be expected that along with the gradual introduction of various reform measures and the promotion of economic pformation, the stock market will continue to show structural market and investment hot spots will be frequent.