The global epidemic situation is still not optimistic. Today, the United States suddenly added more than 16,000 new cases, which really made people sweat. Previously, Japan, which was not in a serious situation, suddenly announced the establishment of a countermeasures headquarters this afternoon to control going out: 《外出自粛期間は２１日程度 新型コロナ、政府の対処方針判明》. The reason seems to be the sudden increase of 47 confirmed cases today (previously it had always been single digits). Could it be that the Japanese government had reservations before the postponement of the Olympics?
The A-share market did not continue the upward trend from yesterday and instead experienced narrow fluctuations. The trading volume today shrank to 642.4 billion yuan. The two concepts that hit the daily limit today are the ventilator and mask concepts, including:
- Bohui Innovation (300318.XSHE)
- Hejia Shares (300273.XSHE)
- Lanhai Medical (600896.XSHG)
- Yuwell Medical (002223.XSHE)
- Baolet (300246.XSHE)
- Mindray Medical (002932.XSHE)
- BGI Genomics (300676.XSHE)
The other concept is the agricultural planting sector, including:
- Jinjian Rice (600127.XSHG)
- Zhongxing Mushroom (002772.XSHE)
- Tiankang Biology (002100.XSHE)
- Jingliang Holdings (000505.XSHE)
- Wanxiang Denuo (600371.XSHG)
- Nongfa Seed Industry (600313.XSHG)
- Shenliang Holdings (000019.XSHE)
- Huazi Industrial (600191.XSHG)
Is the current A-share market worth investing in at this time? On March 25th, UBS Securities published "Inspiration for the Current Market in 2008", pointing out that "some investors are worried whether the market in 2020 will experience a significant valuation decline like in 2008. In our opinion, the likelihood of a situation similar to 2008 is very small," and "in terms of market style, we expect that the mid-cap stocks will experience a larger decline than large-cap stocks in 2008, but the subsequent rebound is expected to be greater (for example, the CSI 500 compared to the CSI 300, and the Hang Seng Mid-Cap Index compared to the Hang Seng Large-Cap Index)." According to UBS Securities' research, the P/E and P/B ratios of the CSI 300 are currently at historical lows.
Figure: P/E Ratio of the CSI 300 excluding banks
Source: Wind and UBS Securities Official Account
Figure: P/B Ratio of the CSI 300 excluding banks
Source: Wind and UBS Securities Official Account
As for the simulated trading, portfolios 2 and 3 remain unchanged.
As for live trading, the scheduled launch of portfolio 1 today seems to have not started as planned, and there is also the phenomenon of unavailable funds for the day, which is really frustrating. I will continue to contact customer service tomorrow.