Sino-Singapore Jingwei Client, February 26th. As the epidemic spread further in many parts of the world, the European and American stock markets continued to plunge overnight. On Wednesday (26th), the Shanghai and Shenzhen markets also opened sharply lower, and then the trends diverged. Capital construction, building materials and other cyclical sectors led the gains, while the banking sector defended. Afternoon market shocks weakened, the Shanghai index fell below 3000 points, technology stocks adjusted sharply, and the GEM index fell nearly 5%. The two cities have traded trillions in 6 consecutive days.

As of the close, the Shanghai Composite Index was reported at 298.793 points, a drop of 0.83%, and the transaction volume was 495.341 billion yuan; the Shenzhen Component Index was reported at 11,497.55 points, a decrease of 3.02%, and the transaction volume was 817.349 billion yuan; the GEM Index was reported at 2180.70 points, a decrease of 4.66%.

Source: Wind

On the disk, sectors such as infrastructure, transportation equipment, shipbuilding, professional engineering, and housing construction led the gains; semiconductors, components, optical optoelectronics, electronics manufacturing, and other electronics sectors led the decline.

In terms of concept stocks, the ASEAN Free Trade Area, water conservancy construction, high-speed rail, prefabricated buildings, chicken raising, etc. led the gains, while Huawei Hisilicon Concepts, integrated circuits, printed circuit boards (PCBs), MiniLED, and gallium nitride led the declines.

Source: Wind

As for individual stocks, 1354 stocks rose, of which 149 stocks including Yinfei Storage, Wanxiang Qianchao, and Kelida rose more than 5%. 2344 stocks fell, of which 150 stocks including Yilianzhong, Tianze Information, and Research and Development Materials fell more than 5%.

Chuancai Securities believes that the strong performance of the A-share market after the holiday mainly comes from macro-cyclical control policies and relatively abundant liquidity. The strong market in the post-holiday market, especially the small and medium-sized enterprises, said that to a certain extent, it is related to the performance forecast announced at the end of January showing that there is a greater possibility that the growth rate of the GEM's profit growth in 2019 will show a significant improvement. However, this round of market quotations is mostly due to the continuous counter-cyclical control policies, especially the pace and intensity of fiscal and monetary policies surpassing expectations, which has brought about ample liquidity to the market.

Guosheng Securities said that the broader market returned to around 3,000 points, and the ChiNext Index even hit a record high. With the huge increase, the market fear and profit-taking sentiment have risen in the short term, and the overseas shocks have been superimposed, and it is quite normal for the market to experience shocks. The big logic and megatrend of science and technology growth has not been disrupted, and it is still the main stage. First of all, incremental funds are still flowing; the wide currency environment continues; the refinancing relaxation cycle is approaching, and the growth of science and technology is most beneficial; from a fundamental point of view, the growth of science and technology also has strong support and economic advantages. (Zhongxin Jingwei APP)

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