The market sentiment is sluggish, and the three major A-share stock indexes have dived and closed green! Offensive or defensive in April?

Sino-Singapore Jingwei client, April 8 (Wednesday) US stocks closed down overnight, both Shanghai and Shenzhen opened lower. The recently active agricultural sector led the decline in both markets, and the Shanghai index rebounded volatility after opening, consolidating above the 2800 point mark. Afternoon diving in the two cities turned green, the three major stock indexes closed down. The analysis said that the current A-share market is generally at the bottom of the turbulence period, and investors can gradually arrange for dips.

As of the close, the Shanghai index reported 2815.37 points, a decrease of 0.19%, and the turnover was 253.16 billion yuan; the Shenzhen Component Index reported 10386.54 points, a decrease of 0.41%, and the turnover was 420.856 billion yuan; the GEM index reported 1964.76 points, a decrease of 0.26%.

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On the plate, catering, hotels, other mining, aviation equipment, scenic spots and other sectors led the rise; planting, livestock and poultry farming, feed, food processing, white goods and other sectors fell in the forefront.

In terms of concept stocks, RCS rich media communications, holographic technology, superconducting concepts, BDI index, sugar and other gains ranked first, while agricultural planting, genetically modified, chicken raising, ventilator, rural e-commerce and other declines ranked first.

In terms of individual stocks, 2148 individual stocks rose, among which 149 individual stocks such as Jingtianli, Taiji Group, ST Yinyi and others rose more than 5%. 1483 stocks fell, of which 59 stocks such as Mingzhi Electric, Mango Hypermedia, ST Ruidian and others fell more than 5%.

Offensive or defensive in April?

Guosen Securities believes that with the accelerated spread and spread of the new crown epidemic overseas, the plunge in the overseas market in March has reflected a similar crisis pattern in 2008. A shares have not been spared, and valuations in the real estate, mining, and banking sectors appear to be “extremely cheap”. Although these sectors are more difficult to have offensive attributes, if the final crisis does not occur and there is room for valuation repair in the future, these "extremely cheap" sectors also have better defensive attributes. If the final crisis does not occur, there is more room for subsequent valuation repairs in these industries. The direction of market attack is still growing in technology.

Looking forward to the market outlook, Shanxi Securities said that it is optimistic about the value of medium- and long-term investment in A shares, and the short-term rebound in foreign capital inflows is expected to continue. There are two points that deserve attention in the follow-up. One is whether the domestic economic repair can break the bottleneck, and the other is that the epidemic in Europe and the United States has deteriorated again. Judging from the performance of the market, the market is gradually aware of this. The direction of capital pursuit is still the mandatory consumption and defense sectors, while the oversold tourism and aviation sectors are not performing well.

In terms of configuration, Great Wall Securities recommends that you can focus on subdivisions such as construction materials, construction, engineering equipment, electricity, and chemicals related to reinstatement and infrastructure, as well as financial and real estate related to steady growth; food and pharmaceutical consumer industries with relatively stable performance . In the medium and long term, the new infrastructure sectors such as the 5G industry chain, new energy vehicle industry chain, artificial intelligence, etc. may usher in a peak investment period, and the strength of other major infrastructure supplementary shortcomings projects is also worth looking forward to. (Sino-Singapore Jingwei app)

(The opinions in this article are for reference only, and do not constitute investment advice. Investment is risky and you need to be cautious when entering the market.)