Big infrastructure outbreak, lift limit tide!What happened?


Today, A – share three major index shock collation, the final collective red closing.By the close, The Shanghai index was up 0.57 percent, the Shenzhen Component index was up 0.23 percent and the chinext index was up 0.07 percent.Disk, big infrastructure plate outbreak, set off the limit tide, Hangzhou garden for two consecutive days 20% limit.On the other hand, infrastructure investment has become an important driver of steady growth. At present, many places have made a good start, and major projects have been started in the first quarter.More than a dozen provinces and cities, including Beijing, Shanghai, Shandong and Zhejiang, have also released their investment lists for major projects in 2022.Wind data show that 2.4 billion yuan of main capital entrance grab, Zhejiang Construction investment was added 810 million yuan;China State Construction Engineering co., LTD., Oriental Yuhong, China Energy Construction Co., LTD., China Zhongzhi Co., LTD., Southeast Grid Construction Co., LTD., and China Boulder Co., LTD.Big infrastructure plate strong again today infrastructure plate set off limit tide, decoration, cement building materials, chemical fertilizer industry or the top.Individual stocks, Hangzhou Garden for the second consecutive day 20% limit, since February the cumulative rise of 69.72%.Zhejiang Construction investment trading limit, nearly eight trading days closed seven daily limit.Recently, driven by the logic of investment with steady growth, large infrastructure has gradually become the main line of the market.The Ministry of Finance (MOF) announced on Its website on February 14 that it has set a new limit of 1.788 trillion yuan on local government debt in 2022 in advance, after approval by The State Council and reported to the Standing Committee of the National People’s Congress for the record.This includes a general debt ceiling of 328 billion yuan and a special debt ceiling of 1.46 trillion yuan.Sealand Securities said that the central bank released financial statistics and social financing data in January 2022 showed that the growth of credit society in January, the advance of infrastructure and the Ministry of Finance issued in advance the approval of new special debt in 2022 1.46 trillion yuan to form data support.Special bonds approved in advance are mainly used for transportation infrastructure construction. Considering the delay of special bonds issuance, infrastructure projects are expected to be launched in succession.In this context, the expectation of steady growth has been strengthened, and the construction sector is expected to benefit first.Citic Securities pointed out that under the tone of steady growth, infrastructure investment is expected to support the bottom of the economy. Taking into account financial factors such as special debt and supervision of local government hidden debt, the annual growth rate is expected to reach 6.5%, and infrastructure REITs are expected to become a potential source of incremental capital for infrastructure.Infrastructure industry chain may usher in fundamental positive changes, the current overall plate low valuation, low allocation.It is suggested to select cement, construction, new power system, digital infrastructure, power station operation and other infrastructure industry chain companies benefiting from the expected increase in infrastructure power generation.In terms of investment opportunities, the agency recommended preferred infrastructure industry chain companies benefiting from the expected rise in infrastructure development.1) Cement industry: infrastructure makes great efforts to resist the decline in industry demand, and the favorable situation makes the industry profitable with high stability. High price and low operation rate may become the new normal of cement industry. China Building Materials, Conch Cement and Huaxin Cement are recommended.Rare earth plate strong pull up today rare earth permanent magnet plate is also intraday force to go higher.Rare earth prices have been soaring recently.Data from Shanghai Nonferrous Metals Network showed that on February 15, the price per ton of praseodymium oxide in the light rare earth has broken through the million mark, reaching 1.1 million yuan/ton, compared with 990,000 yuan/ton before the Spring Festival, up more than 10%, from the 2011 record high of 1.275,000 yuan/ton, only 13.7% less.Industry insiders said that the recent rising rare earth prices are mainly caused by the imbalance between supply and demand in the market, and the current supply of raw materials and recycled waste from upstream rare earth mines is very tight.This is mainly due to factors such as environmental protection and policy control of strategic resources. The increase in domestic rare earth mining targets is limited, and it is difficult to match the growing downstream demand for rare earth products year by year. Separation and smelting enterprises rely more on imported rare earth minerals.Northeast Securities said it expects supply to remain tight in 2022, supporting rare earth prices to remain high.In the phosphorus chemical plate, Hubei Yihua, Xinhua shares, silte and other stocks rose significantly.In the “Chemical Industry 2022 Investment Strategy Report”, East Asia Qianhai puts forward that the price of main phosphorus chemical products is still at a high level, and the traditional business continues to contribute to the profits of relevant enterprises;At the same time, phosphorus chemical industry enters the new energy track. With the gradual production of iron phosphate and other new energy materials, phosphorus chemical industry opens the performance growth space, and the valuation is further improved. It is expected that the prosperity of phosphorus chemical industry is still in 2022.Value and growth of the coexistence of two styles huatai Securities strategy analyst Zhang Xinyuan believes that the current market style see-saw probability, to be greater than the establishment of the value of the style, the market or value growth of the double mainline parallel situation.”Since the fourth quarter of 2021, the gap between the stable growth chain and the growth sector stock price shears has continued to expand, and the apparent catalyst is the change in overseas liquidity expectations. However, the change in liquidity is not a sufficient condition for the establishment of a new style, but a significant reversal of the industrial logic shears and performance shears is a necessary condition, which is not available at present.”Zhang Xinyuan thinks.Disclaimer: If the content of the article involves the content of the work, copyright and other issues, please contact this public number within 30 days, we will delete the content in the first time.

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