Intense Battle Between Bulls and Bears in A-shares and Hong Kong Stocks.
On October 16th, the three major A-share indices opened lower collectively, with the Shanghai Composite Index opening down by 1%, the Shenzhen Component Index down by 1.67%, and the ChiNext Index down by 2.31%. Subsequently, all three indices experienced a lift during the trading session, with the Shanghai Composite Index briefly turning positive at one point, but then falling back into negative territory. As of press time, the Shanghai Composite Index turned positive again. The Hong Kong stock market and the FTSE China A50 Index futures followed a similar trend.
The real estate sector performed relatively strongly. In terms of news, the State Council's Information Office will hold a press conference tomorrow morning to introduce the situation related to promoting the stable and healthy development of the real estate market.
The newly listed stock, Shangda Shares, was suspended twice during the trading session on the day of its listing, surging nearly 1400% at one point. In fact, not only Shangda Shares, but also other newly listed stocks have generally performed well on their first day of trading recently. Just last week, Qiangbang New Materials' stock price surged by more than 2400% during its first day of trading, and Tongguan Mining's stock price also increased by more than 11 times. Wind data shows that among the 72 newly listed stocks this year, more than 50 stocks had a maximum increase of over 100% on their first trading day, with 24 stocks having a maximum increase of over 200%.
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However, after the stock prices were speculated on the first day of listing, some stocks that became secondary stocks had poor subsequent performance, a phenomenon that investors should also pay attention to and invest rationally.
Intense Battle: Shanghai Composite Index, Hang Seng Index, and A50 Turn Positive at One Point
On October 16th, the three major A-share indices opened lower collectively, with the Shanghai Composite Index opening down by 1%, the Shenzhen Component Index down by 1.67%, and the ChiNext Index down by 2.31%. At the beginning of the trading session, all three indices rose, with the Shanghai Composite Index turning positive at one point, then falling back into negative territory. As of press time, it turned positive again, up by 0.35%.
The Hong Kong stock market also followed a similar trend, with the Hang Seng Index and the Hang Seng Technology Index both turning positive after a significant opening low, then falling back into negative territory. Around 10:20, they were lifted again, with the Hang Seng Index turning positive and the Hang Seng Technology Index's decline narrowing to around 0.3%.
The FTSE China A50 Index futures also turned positive at one point during the trading session.
Shengang Securities' research report stated that after a period of strong upward momentum, the market experienced high-position oscillations. Although the short-term market sentiment has cooled somewhat, it has also become healthier, which is beneficial for the long-term development of the market trend.Zhongtai Securities believes that the current market's fervor is gradually subsiding. After the market realizes that the policy framework has not shifted and the fiscal strength maintains its resolve, with the focus of fiscal direction still on the technology sectors related to new quality productivity, it is expected that the main theme of the market may remain technology stocks.
The real estate sector has shown relative strength, with several A-share real estate stocks hitting their upper limits. Tefa Service rose by more than 12%, and Sunshine Shares, Financial Street, Caixin Development, Yu Development, and Everbright Jiabao all reached their daily limit up.
In the Hong Kong stock market, Ronshine China increased by nearly 20%, and Kaisa Group, Sunac China, and Logan Group all saw gains exceeding 10%.
In terms of news, on the evening of the 15th, the State Council Information Office announced a schedule for a press conference to be held at 10 am on Thursday, October 17, 2024. Minister Ni Hong of the Ministry of Housing and Urban-Rural Development, along with heads of the Ministry of Finance, Ministry of Natural Resources, People's Bank of China, and the State Financial Regulatory Administration, will introduce the situation related to promoting the stable and healthy development of the real estate market and answer questions from journalists.
In addition, local stocks in Sichuan listed on the A-share market have also shown strength, with several stocks hitting their upper limits.
Shangda Shares were temporarily suspended twice during the trading day.
Today, a new stock, Shangda Shares, was listed on the A-share market. The stock soared by 800% at the opening and further increased after entering the continuous auction phase. As of the time of writing, the maximum intraday increase approached 1400%, making it another new stock that has seen an intraday increase of more than ten times on its debut day.
Due to the stock price touching the temporary suspension threshold during the trading day, the stock was suspended twice.
The first temporary suspension announcement issued by the Shenzhen Stock Exchange during the trading day stated, "N Shangda Shares" (301522) saw the transaction price rise for the first time by 30% or more compared to the opening price. According to the "Shenzhen Stock Exchange Trading Rules" and other relevant regulations, the Shenzhen Stock Exchange implemented a temporary suspension of the security starting from 09:30:00 today and resumed trading at 09:40:00.
The Shenzhen Stock Exchange's announcement stated that it solemnly reminds investors to pay attention to investment risks and invest rationally.After resuming trading, the share price of Shangda Corporation further rose, with the intraday increase further expanding to 1382.56%, touching the temporary suspension threshold once again.
The second temporary suspension announcement released by the Shenzhen Stock Exchange during the trading session stated, "N Shangda Corporation" (301522) saw its intraday transaction price increase by 60% or more for the first time compared to the opening price. In accordance with the "Shenzhen Stock Exchange Trading Rules" and other relevant regulations, the Shenzhen Stock Exchange implemented a temporary suspension of the security starting from 09:40:22 today, and resumed trading at 09:50:23. The Shenzhen Stock Exchange solemnly reminds investors to pay attention to investment risks and invest rationally.
According to the prospectus, Shangda Corporation is mainly engaged in the research and development, production, and sales of special alloy products such as high-temperature and high-performance alloys, high-quality special stainless steels, etc. The company has achieved high-quality, low-cost, and short-cycle production and delivery of key strategic materials such as high-temperature alloys. The main product delivery forms include free forgings such as forging bars, forging flats, pancake forgings, ring forgings, and shaft forgings. The company's products are widely used in the production and manufacturing of high-end equipment in military and civilian fields such as aerospace, gas turbines and steam turbines, nuclear engineering, and petrochemicals.
The prospectus states that the company has a strong R&D capability. As a national high-tech enterprise, the company has obtained 46 invention patents and 20 utility model patents since its establishment, and has more than 110 professional technical talents in the direction of high-temperature alloy and other special alloy production preparation. The company has established key cooperation units with academicians, post-doctoral innovation practice bases, national enterprise technology centers, Hebei Province enterprise technology centers, Hebei Province regenerative high-temperature alloy technology innovation centers, high-temperature alloy regeneration technology and new deformation material joint laboratories, Hebei Province corrosion-resistant alloy material key laboratories, and is a key enterprise in Hebei Province's strategic emerging industries, a demonstration pilot unit of Hebei Province's circular economy, a "weapon equipment key alloy material security mobilization center" in Hebei Province, a leading technology enterprise in Hebei Province, an aerospace high-temperature alloy industry technology research institute in Hebei Province, a technology leader enterprise in Hebei Province, and a single-champion enterprise in Hebei Province's manufacturing industry. At the same time, the company has established a comprehensive technical cooperation relationship with subordinate units of military industry groups such as China Aero Engine Group, China Shipbuilding Group, and Aerospace Science and Industry Corporation, scientific research institutes such as China Gas Turbine Research Institute, China Aero Engine Hunan Power Machinery Research Institute, General Research Institute for Non-ferrous Metals, and the Institute of Metal Research of the Chinese Academy of Sciences, and universities such as the University of Science and Technology Beijing, Beijing University of Aeronautics and Astronautics, and Northeastern University.
The overall performance of newly listed stocks on the first day has been good recently.
In fact, not only the newly listed stocks today have seen a huge increase, but the overall performance of newly listed stocks on the first day has been good recently.
Wind data shows that among the 72 newly listed stocks this year, more than 50 stocks have seen a maximum intraday increase of more than 100% on the first day of listing, with 24 stocks seeing a maximum intraday increase of more than 200% on the first day of listing.
With the overall significant rise in the A-share market since September, newly listed stocks have also been clearly sought after by the market.
Data shows that among the newly listed stocks with a maximum intraday increase of more than 1000% on the first day of listing this year, all are newly listed stocks since September, namely Changlian Technology, Qiangbang New Materials, Tongguan Mining Construction, and Shangda Corporation. Among them, Qiangbang New Materials even saw a maximum intraday increase of 2430.99% on the first day of listing, setting a new record for the maximum intraday increase on the first day of listing this year.
However, it is worth noting that after the stock price was speculated on the first day of listing, the subsequent performance of some stocks that became secondary stocks was not good, and some secondary stocks fell significantly from high positions. This also reminds investors from one side that they need to invest rationally and not blindly follow the trend to chase high prices.