Market review:
China stocks rose with SHA climbed about 0.1%.
Research Notes:
Money flowed into Finance, Construction, Cement sectors the most.Kunming Yunnei Power Co.(000903) rallied to limit-up as as the company released a plan to acquire a software company to expand its business into IT service.
DXY fell to 99 level as Fed showed no sign to hike the rate for the next FOMC meeting and Trump had difficulties to pass his health bill.CNYUSD climbed to 6.88 level for both weakness of USD and continued money tightness in inter-bank market. In commodity market, Hot Rolled Coils, Rebar, Plastic rallied the most as investors bought into those construction materials after their slump in the recent week with the belief that the supply side reform would support their prices. Despite the selling of B share, we’re still bullish on sectors of medicine, international trade and those will benefit from “one belt one road policy”, with SHA 3300 as the mid-term target as we believed that the money tightness of inter-bank would be curbed in Q2.
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