Market Review:
China
market triggered a trading half in equities, futures and options market on the
first trading day of 2016.
Research
Notes:
1.Weak
PMI showed a series of interest-rate cuts and increased fiscal stimulus have
failed to boost flagging growth by the nation’s manufactures.
2.The
limit of holders selling shares expired on Jan 8th.And Technology
companies are the most vulnerable to sell-off once the restriction is removed
after they led a rebound since the benchmark index’s August low.
3.Herd
behavior. Individual investors, who drive more than 80 percent of trading in
A-share market, may have rushed to sell after the first circuit breaker took
effect to avoid getting stuck in positions by the 7 percent suspension.
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