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Market review: June 21, 2016

Fang submitted 2016-06-21 16:15:11

Market review:

China stocks declined before the June 23rd UK voting on its EU membership.

Research Notes:

Money outflowed from Petrochemical, Mining and Textile sectors the most. Hainan Highway Co.(000886.sz) rallied to limit-up for its sub-branch got granted for IPO.

As USD index weakened before Testify of Yellen, CNYUSD strengthened further and liquidity in inter-bank market also showed tightness before the end of the year-half. In commodity market, coal and pvc led rally as flood caused some damage which need construction material for repair and many factories released offline plan for the G20 meeting. Given the market could not rally up with UK voting uncertainty, our strategy is still to wait the SHA dip if the result turn out to be shock and buy into shares of New Energy and Food & Beverage sectors , which could be a better bargain.


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