A new atlas of a-share investment: dollar depreciation, Resource price rise

A cough in the United States, a global pandemic. The capital markets are now facing a similar situation. "The sharp rise in asset prices and resource prices caused by the depreciation of the dollar is the backbone of this year's financial markets. "Yesterday, the Great Wall Securities macro Strategy analyst Wutu King analysis," The world will set off a currency frenzy, asset price frenzy, now each country faces a similar situation: printing money! Liu Yan, deputy general manager of the National Yuan Securities Research Center, yesterday also concluded that hot money poured into Hong Kong to help raise domestic and foreign capital markets. The world's capital is at the forefront of China's economic recovery. And in the surrounding market warmth catalytic, yesterday a a-share market in June, and create a rebound to new highs. Prev Close 2721.28 points.　　A new round of gains may be hidden in the downward trend of the dollar. Analysts prepare a report on the depreciation of the dollar "I'm writing a report!" Yesterday, against the reporter dollar depreciation, global hot money catalytic a A-share question, a number of securities analysts said.　　Yesterday a strong rebound in the A-share market was considered by the industry as a result of the global liquidity flood caused by the depreciation of the dollar and domestic multiple policies positive double stimulus. "Recently, the U.S. Treasury market has fallen sharply, causing global capital market linkage." "Yesterday, the Great Wall Securities macro-strategy analyst Wutu King said," Last week the U.S. government auction 100 billion of national debt, the purchase price is very low, to the market cannot catch the feeling. Treasury bonds are a financial focus in the second half of the year, with an estimated more than 3 trillion debt issuance, now just the beginning.　　"There are institutional projections: by the end of September this year, the U.S. fiscal year's deficit will be as high as $1.75 trillion, three times times higher than the previous year, the government's debt is fast up." Wutu King analysis that: the depreciation of the dollar seems to be a fate. The recent auction of 100 billion of national debt, the Middle East, China and other not very interested. U.S. government financing must rely on Treasury bonds, if the Fed does not intervene, the price of Treasury auctions is getting lower and higher yields. "This is intolerable to the Fed, and international credit is difficult to accept." The Fed will certainly step up its buying efforts. This is tantamount to printing money to buy their own bonds, so that the fiscal deficit monetization. There is no significant difference between the country buying or the US buying. The former moves the currency to the international, which leaves the currency at home. "The depreciation of the dollar cannot be avoided," he said. "The tendency for commodity prices to soar and the dollar's depreciation is no secret in the world." Xia, executive director of Shenzhen Asia-Pacific unit, yesterday introduced a long-term bullish gold call from its research team, which may have a pullback in June. "The world's new money is looking for a way out, the dollar depreciation, the rest of the money with the dollar, the world's money to become worthless, gold strength trend, it is possible to break a new high in August." "The dollar is bound to depreciate, as it has done for Japan before."　　Zhonglin, president of Shanghai Kylin Asset Management company, said yesterday. "The situation in every country is similar, and China is investing more." The world will unleash a currency frenzy and asset-price frenzy. "This is the logical main trend, and it's been fired before, but not so fierce," Wutu King said. Dollar depreciation, resource commodity prices, commodity pricesWill rise more quickly, the value of revaluation, real estate prices will therefore have a rise in expectations.　　"A-share market resource stocks are not only using the domestic market to find logic, the depreciation of the dollar, the collective rise of crude oil is another major reason." Zhang Guangwen, an analyst at Guangzhou Securities Strategy, explained: "The main reason for the rise in the resources stocks is the expectations of inflation, the market is optimistic about real estate and resource stocks, investment preferences increased, such stocks are popular, the rise is obvious." "He believes that liquidity is one of the central plains: While capacity contraction, on the other hand liquidity surplus, capital inflow is bound to push the plate up." In addition, he talked about valuations. "Our data show that the A-share market is 44 times times higher than the valuation of resources and banking stocks, while resources and banking stocks are only 26, 27 times times." "At present, the market is much more money, but not blindly, buy more low valuations, relatively safe stocks." "Resource stocks are closely linked to overseas crude oil prices, and non-ferrous metals are linked to international commodity prices. "The dollar is an important factor in the price of crude oil and commodity prices," said Shanli, an analyst at the Southwestern Securities strategy.　　"Zhang Guangwen also said that the periphery market is the vane, and the domestic market has the linkage, is the main reason to guide a-share rise." The gold stocks, which were a part of non-ferrous metals, recently showed their investment value. The rise in gold stocks has a causal link with the dollar. Wanda Futures Gold Monthly said that for gold stocks higher, the Chinese factor to its pulling effect is not obvious, mainly in the dollar fell led by the rise. "The current market is no longer in need of safe havens, but inflation cannot come soon, so the dollar's devaluation is almost the only factor leading to gold prices," the report said. and Zhang Guangwen said that the need for safe haven for gold stocks remains. "Because of inflation, the purchasing power of money is lower than gold, and is the economic recovery really as fast as expected?"　　Shanli points out that gold is now close to the highest point in history and is critical. But it's worth noting that the industry is divided on the issue of short-term dollar depreciation and appreciation. "The position of the dollar index is critical, and the dollar's depreciation is likely to come to an ending." Shanli said, "Once the dollar depreciation trend reversed, resource stocks will be affected." She said the end of the dollar depreciation in the short term is likely to come. Zhang Guangwen, however, said that while the trend of dollar depreciation is indeed possible, there is no clear indication yet. "Why foreign markets are so hot is being diverted into equities and commodities because they are not bullish on the dollar."　　Lihai, the Galactic Securities strategy analyst, also denied the dollar's end to devaluation. The market will make room for the IPO adjustment Zhonglin: "The stock market will be reopened next month after this month." The stock market will surely rise to around 3,000, at least to the point where the country bailed out last year. Liu Yan, deputy general manager of the National Yuan Securities Research Center, also analysed yesterday that the 1-year renminbi exchange rate against the dollar (N D F) in the offshore delivery market was 8-month highs at 6.In the vicinity of 70, the depreciation of the dollar and the appreciation of the renminbi have led to the global accumulation of large sums of money in Hong Kong, the first recovery of our economy, which not only pushes up the Hong Kong stock market, but also helps raise the domestic capital market. Reporter Liang Yongjian intern Yang Heart