Recently, there has been a phased adjustment in the A-share market. A number of chief economists and chief analysts of brokerage firms said that the recent adjustments are driven by external input factors and are a technical correction. Currently, the market already has the conditions for a rebound, and the medium- to long-term resilience of A-shares is sufficient. Zhang Jun, chief economist at China Galaxy Securities and director of the Research Institute, said that the recent hawkish statement by Federal Reserve officials boosted US bond yields and the US dollar index to suppress high-valued global growth stocks; US stocks, Japan, and South Korea technology stocks collectively plummeted, and fears in the storage industry chain were transmitted across borders. The phased outflow of capital to the north, compounded by rising geographical factors and rising crude oil prices, is a passive transmission of peripheral sentiment. Huang Wentao, chief economist at CITIC Construction Investment Securities, said, “Short-term shocks may change the pace of transactions, but they cannot change the direction of domestic policies and technology industry trends. Concentration and leverage were digested by the current decline in overseas markets, and A-shares are structurally different from them in terms of liquidity environment, trading congestion, and upward driving force. Compared to overseas, A-shares have suffered discounts that do not fully match their own risk structure.” According to Chen Li, chief economist and research director of Chuancai Securities, domestic macroeconomic fundamentals and industrial development logic have not weakened trendily. Economic support policies continue to be implemented, manufacturing profits have been restored, and future industrial cultivation is progressing steadily.

Recently, there has been a phased adjustment in the A-share market. A number of chief economists and chief analysts of brokerage firms said that the recent adjustments are driven by external input factors and are a technical correction. Currently, the market already has the conditions for a rebound, and the medium- to long-term resilience of A-shares is sufficient. Zhang Jun, chief economist at China Galaxy Securities and director of the Research Institute, said that the recent hawkish statement by Federal Reserve officials boosted US bond yields and the US dollar index to suppress high-valued global growth stocks; US stocks, Japan, and South Korea technology stocks collectively plummeted, and fears in the storage industry chain were transmitted across borders. The phased outflow of capital to the north, compounded by rising geographical factors and rising crude oil prices, is a passive transmission of peripheral sentiment. Huang Wentao, chief economist at CITIC Construction Investment Securities, said, “Short-term shocks may change the pace of transactions, but they cannot change the direction of domestic policies and technology industry trends. Concentration and leverage were digested by the current decline in overseas markets, and A-shares are structurally different from them in terms of liquidity environment, trading congestion, and upward driving force. Compared to overseas, A-shares have suffered discounts that do not fully match their own risk structure.” According to Chen Li, chief economist and research director of Chuancai Securities, domestic macroeconomic fundamentals and industrial development logic have not weakened trendily. Economic support policies continue to be implemented, manufacturing profits have been restored, and future industrial cultivation is progressing steadily.