CSI 300 Drops 1.37%
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This week, the A-share market faced pressure with investor sentiment turning cautious. The SSE Index(000001) fell slightly by 0.28%, closing at 3,342.01 points, failing to break through key resistance levels for four consecutive weeks. Trading volume was 17.08% lower than the 50-day moving average, indicating a strong sense of wait-and-see among investors. The CSI 300(000300) index dropped by 1.37% and continued to remain below multiple moving averages, suggesting overall poor performance of large-cap stocks. The Shenzhen Index(399001)and ChiNext(399006)fell by 2.28% and 2.95% respectively, with technology growth stocks bearing significant selling pressure.
The US stock market experienced increased volatility this week. Both the Nasdaq Composite(0NDQC) and S & P 500 Index(0S&P5) rose by 1.61%, but concerns linger over future trends due to the sudden announcement of “equivalent tariffs” policy by the Trump administration, causing global market tremors. Goldman Sachs analysis pointed out that this policy could cost the US GDP $83 billion and raise the probability of an economic recession in the US to 35%. Former Treasury Secretary Summers compared its impact to the “oil crisis”, hinting at a major threat to economic growth. As a result, global safe-haven assets saw substantial gains. Gold prices hit record highs while US Treasury yields declined, indicating funds were flowing from stocks into safe havens. Additionally, US crude oil inventories unexpectedly surged by 6.165 million barrels, far exceeding market expectations, further intensifying global market uncertainty. Japanese and Korean stock markets reacted strongly, showing high sensitivity of Asian markets to the escalation of global trade wars. Meanwhile, Southeast Asian markets became a “tariff disaster area” as Trump imposed additional tariffs on export products from this region, disrupting supply chain layouts.
Despite tightening external conditions, the Chinese economy demonstrated certain resilience. Official manufacturing PMI for March stood at 50.5, meeting market expectations and slightly up from the previous value of 50.2, indicating sustained expansion in manufacturing. Five chief economists commonly believed that ongoing macro policies would contribute to the continuation of economic recovery momentum. Simultaneously, the Chinese government recently introduced a series of growth-stabilizing measures. Four major state-owned banks announced core Tier 1 capital replenishment plans, potentially driving an increase of 4 trillion yuan in credit, supporting the real economy. Moreover, the General Office of the CPC Central Committee and the State Council issued the “Opinions on Improving Price Governance Mechanisms”, emphasizing market-oriented pricing mechanisms, laying a solid foundation for long-term economic development.
From an industry perspective, the Beverages-Non-Alcoholic(G2086IG.CN)sector performed most prominently, rising by 7.07% this week, reflecting continuous growth in demand for non-alcoholic beverages, especially in the health drink segment. Following closely is the Utility-Diversified(G4942IG.CN) sector, which gained 6.63%, benefiting from stable market demand and policy support. The Retail-Super/Mini Mkts(G5411IG.CN) sector also performed well, climbing 5.75% this week, thanks to increasing consumer demand for convenient shopping and continuous expansion by leading enterprises within the industry.
The average gain/loss ratio of the TOP33 stocks this week was -2.33%, with 7 stocks rising and 26 declining. Among individual stocks, Fujian Wanchen Biotechnology Group(300972) stood out with a rise of 11.68%, being the highest gainer among the TOP33 stocks. Engaged in the research, industrial cultivation, and sales of fresh edible fungi, and having extensive operations across various sectors, the company benefited from upgrades in food consumption. Its RS Rating reached as high as 99, indicating high attention from market funds. With an O’Neil Score of 82, but an EPS Rating of 70, there remains room for improvement in profitability. Despite an industry rating of 100, the Acc/Dis Rating was only B, so short-term fund movements need to be monitored.
Next week, a total of 328 companies will release earnings reports. Investors should focus on profit growth trends, particularly export-oriented enterprises significantly affected by tariff policies. Furthermore, market sentiment remains influenced by Trump’s policies and global risk aversion, likely leading to intensified short-term fluctuations. It is advised that investors proceed cautiously, paying close attention to changes in the relative strength of industries and individual stocks.
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Notice: Information contained herein is not and should not be construed as an offer, solicitation, or recommendation to buy or sell securities. It is for educational purposes only.
published on April 3, 2025