"Historical" range of interest rate cuts! The four major news in the early hours of this morning officially hit (222）！
1. At the CSRC symposium, many people focused on increasing long-term funds, strictly controlling listing and supervision, but rarely mentioned the final practical measures. It is reported that the China Securities Regulatory Commission will speed up the registration of equity products, further enrich the supply of broad-based index ** products and corresponding option products, and strengthen coordination with relevant departments to promote the introduction of more medium and long-term funds into the market. ”
It is necessary to increase the intensity of examination and approval and strengthen sales. But in the current situation, it is difficult for investors to pay even if a large amount of money is approved, so it is a bit difficult. But then the abundance of broad index products** is of interest. Few people have mentioned them directly like this before. This shows that the China Securities Regulatory Commission also recognizes that many of the company's previous active products are nonsense, and it is necessary to promote a large number of broad-based indexes, which is a stabilizer of the market. The indices that have been sold in large quantities in the past are all various themes**, industries**, and pure gambling. But the consequence is that the rate of return will drop sharply in the future, because the increase in the broad-based index** is very low, so everyone should be soberly aware.
Second, the largest interest rate cut in history shows that we are really in a hurry! What does that mean? What do ordinary people do?
China cut interest rates at one time by 025% indicates that the economy needs a big stimulus. In the context of an economic downturn coupled with deflationary expectations, interest rate cuts are inevitable. Real estate is in a downward cycle and the likelihood of stimulus is low. Interest rate cuts will help stimulate consumption and investment, but existing lending rates won't change until next year. A sharp drop in the lending rate will lead to a significant drop in the deposit rate. People who want to make a deposit should do so as soon as possible.
3. If the mortgage interest rate reaches 395%, what will be the impact on **? To be honest, this time the adjustment is still relatively large. Existing homes won't benefit from interest rate cuts until next year. Can the New Home Interest Rate Adjustment Stimulate Housing Prices**? Obviously, the biggest concern for home buyers is not the interest rate, but the *** I have many friends in Shanghai, and no one discusses the interest rate. They are all discussing whether to halve the price of the house. Who lowered the community's **? Financial instruments are good for housing prices. But what plays a decisive role is the law of market supply and demand, as well as the return to value. This is the royal way.
So the impact of this news on ** is mainly the impact on bank earnings. Will management allow bank earnings to plummet? At the moment, while spreads have narrowed, the sharp decline in bank performance may not be significant. It's bad for bank stocks, but the impact won't be too severe.
Fourth, will the short squeeze continue today?
1. The trading volume was reduced to the extreme on Wednesday. What I said yesterday seems to have come true. Directly accused of blowing up the main overseas short-sellers. In fact, if you think about it carefully, the will of the state comes first in this position. If it is not fried, ** and institutions have begun to take profits here, coupled with overseas short-selling financing, once it falls, it is easy to produce a herd effect.
2. Once investor confidence is hit again, the national team's efforts to rescue the market in the early stage will be in vain. Therefore, the next operation does not know the index. There is a high probability of a short squeeze. A significant correction is relatively unlikely. Today it is quite possible. You are the main force to go long.