Account Info
Log Out
English
Back
Log in to access Online Inquiry
Back to the Top

How to invest in the ups and downs of the market?

avatar
Market Insight wrote a column · Mar 21, 2022 02:50
Last week, the Federal Reserve raised interest rates'boots fell to the ground'', attracted the attention of the global market. On March 16 local time, the Federal Open Market Committee (FOMC) decided to raise the federal funds rate range to 0.25%-0.5%, the first time the Fed has raised interest rates since December 2018.
So, standing at such a critical time, how to invest?
In addition, many investors will have a series of doubts recently: how to look at the financial market after the violent rebound of Hong Kong stocks? Will the share prices of giant companies with large foreign ownership continue to decline in the future? Where is the end of real estate after the special meeting on financial stability?
In this regard, 10 billion private equityStarockinvestment has been answered, sorted out as follows, in order to provide dinner for readers.
The low of Hong Kong stocks is unlikely to happen againSmile
Q:It is difficult for Hong Kong stocks to reappear their lows?What do you think of the follow-up of the violent rebound in Hong Kong stocks?
A:We tend to think that the low point of Hong Kong stocks is very difficult to reappear, the current valuation already has a great protective force, the core question is how far the rebound behind it can go. Steady growth in the mainland is getting stronger and stronger, which can also boost people's confidence in Hong Kong stocks. Generally speaking, it is worthy of continuous follow-up.
As a matter of fact, it is difficult to judge whether it is sustainable or not.There are three situations: the policy bottom, the market floor and the basic bottom. Policy bottoms generally correspond to emotional bottoms, and sometimes they may overlap, so whether they can continue depends on whether the trends of these companies themselves can be reversed.
For Hong Kong stocks, its valuation is beyond the lower limit of our cognition. Therefore, we tend to think that it is very difficult for Hong Kong stocks to reappear and that it is an extremely irrational situation. Even if its fundamentals do not change, its valuation is still very protective, so we think that the low of Hong Kong stocks is unlikely to happen again, the core question is how far the rebound behind it can go.
You can focus on Hong Kong stocks this year SmileSmile
There are three major sectors of Hong Kong stocks, one is the traditional financial and real estate industry, the other is the Internet, and medical care. These industries have been the target of policy crackdown over the past year, such as Internet anti-monopoly, domestic financial and real estate regulation, and health care, which have been magnified after the Russia-Ukraine incident.
However, there are three points to pay attention to.
The first point is that after the Central Economic work Conference in December 2021, the state has already set some tone and summed up five correct understandings, which talked about a lot of issues, such as anti-monopoly, common prosperity, a correct understanding of carbon peak, and so on.
This is some corrective actions in the implementation of policies in the past year, and it actually has a guiding ideology for Hong Kong stocks in the coming year. Therefore, from the extreme negative policy in 2021 to this year, it should be a neutral temperature and a policy shift, so we think this will be better for Hong Kong stocks.
The second point is that the mainland is making more and more efforts to stabilize growth, which can also boost people's confidence in Hong Kong stocks. Combining these two points, we think that Hong Kong stocks can be concerned about for the whole year.

$Pimco Etf Trust Total Return Active Exch-Traded Fund(BOND.US)$ $PIMCO Strategic Global Government(RCS.US)$ $Franklin Templeton Holdings(BK2596.US)$ $SPDR S&P 500 ETF(SPY.US)$ $BNY Mellon Holdings(BK2598.US)$ $BNY Mellon Holdings(BK2598.US)$ $欧美法巴二九购A.C(10308.HK)$$黄金法巴二三沽A.P(10275.HK)$ $Hang Seng Index(800000.HK)$ $Franklin Templeton Holdings(BK2596.US)$
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only. Read more
1
1
2
9
+0
1
Translate
Report
131K Views
Comment
Sign in to post a comment
  • lightfoot : when you own a stock ask yourself how will rising Int rate effect  my stock.  Debt, inventory, taxes. refinancing or line of credits, leverage cash for dividends. Revaluate.  REITs. mortgage money,  construction.

Stay ahead of the market with insights from Wallstreet.
493Followers
4Following
719Visitors
Follow