Guojin Strategy Team: Market trends may rebound, lasting about one quarter

On October 6th, Guojin Strategy's Zhang Chi team pointed out that this round of market trends may be a "rebound" rather than a "reversal", with a duration of about one quarter, gradually ending after the confirmation of the US "hard landing".

 

Policies such as interest rate cuts aim to improve residents' Balance Sheet and promote the recovery of credit expectations. They extend to two important investment directions: the recovery of credit drives the recovery of residents' consumption expectations; at the same time, they stimulate the market's "willingness to spend money" and guide market expectations to change.

 

Superimposed 500 billion swap and 300 billion repurchase, the increase in market incremental funds will focus on the growth direction. Encouraging leverage will also push up the market's upward slope and accelerate the realization of valuation repair.