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Market review: February 27, 2017

Fang submitted 2017-02-27 23:34:24

Market review:

China stocks declined with SHA fell about -.76%.

Research Notes:

Money outflowed from Construction, Petrochemical, Real Estate sectors the most. Chongqing Construction Engineering Group Co (600939) rallied to limit-up as DXY kept falling to 100.9 as investors failed to locate detail of Trump's tax-cut policy.

CNYUSD stayed firm as PBOC failed to provide liquidity to ease the inter-bank money tightness, at least for this week. Investors chasing this newly listed stock that could benefit from the people's congress policy. In commodity market, Hot Rolled Coils, Rebar, Coke rallied the most as investors still bet bullish on those commodities with supply cut by Gov policy. The CSRC hawkish talk in the week end suppressed market for the short term, but we believed that the seasonal rally around People’s Congress could continue, especially for sectors , such as Food Safety, Free Trade Zone and Medicine, the dip could present some buying opportunities for the mid term.


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