Housing stocks face challenges as credit tightening expectations rise

Since the Chinese bank announced the June increase in new loans 1.53 trillion yuan, the internal housing stock plate is generally under pressure, stock prices in recent days downward. Yesterday, the Chinese Olympic Park (03883.HK) due to a rights issue and the failure of the purchase, the share price 14.21%, bi Garden (02007.HK), China Overseas (00688.HK), Huarun Land (01109.HK), Shimao Real Estate (00813.HK), Agile (03383.　　HK) and the real estate (02777.HK) declined by more than 3%. Industry insiders believe that a large number of new loans may further strengthen inflation expectations in the short term, triggering a tightening of policy by the People's Bank and the CBRC.　　Citigroup and other institutions are optimistic that the mainland's overall property market policy is still supported, the next housing unit overheating conclusion is too early. Stock prices continued to fall by the internal housing stock plate in the days of weak impact, coupled with the share rights and buy land transactions fell through, the Chinese Olympic Park yesterday after the performance of the card disappointing. The company announced recently that through Morgan Stanley and ABN Amro, 360 million shares of HK $1.73 per share were discounted to about 12% of the closing price of the unit prior to its suspension and Thursday (9th), and the net fund-raising amount was about HK $600 million; In addition, the company previously announced to HK $352 million and 12 million yuan to Tian Yu property ( 00059.HK the deal that holds 70% interest in Guangzhou Tianhe District has expired because the goodwill shareholder will veto the acquisition, which has also reduced the prospect of China's Aoyuan to raise its net asset value. Under the double bad blow, the Chinese Olympic Park yesterday closed 1.69 Hong Kong dollar, plunged 14.21%, the deal is subject to a rights issue on the board led to increase to 477 million shares.　　Tian Yu's home fell 3.125% to HK $0.62.　　Other housing stocks also continued to decline in recent days, most of the shares fell more than 3% yesterday, including: the Country garden down 3.43%, China fell 3.46% overseas, Cr Land fell 3.9%, Shimao Real estate fell 4.94%, agile fell 3.5%, decimating real estate fell 3.9%. To explore the trend of low absorption opportunities in the shadow of rapid credit growth and possible tightening of credit policies.　　In this respect, the major organizations have different views. Moody's published a study that said credit growth in the mainland was much higher than expected and that market concerns were growing. As the investment climate in the mainland continues to improve, idle funds will eventually enter the stock and property markets, resulting in asset price bubbles. Sun, China's chief economist for Nomura Securities, asserts that developers now have more pricing power because of easier access to bank loans this year and improved cash flow as a result of strong sales.　　The continued rise in house prices threatens the sustainability of the housing market recovery, and he expects the housing bubble to expand this year, possibly bigger than the 2007 bubble. Citigroup believes it is too early to assert that the housing stock is overheating, although real estate sales may be slowed by seasonal factors in the summer, and the tightening of speculative policies could also lead to internalShare prices fell, but management is expected to continue to support the overall property market policy. 　　The bank believes that the adjustment of the internal housing unit to buy High-quality shares provide the opportunity, such as China overseas, huarun land, Hang lung real Estate (00101.HK), Shimao property. BOC International maintains a neutral rating on the housing unit, the view is that a large number of new loans may further strengthen inflation expectations in the short term, triggering a tightening of policy by the People's Bank and the CBRC, and the fact that the cumulative demand in the past 7 months has been largely absorbed, which will trigger the adjustment of the sector; Adjustment also provides investors with the opportunity to absorb high-quality shares, the bank is optimistic about the land of China resources, preferred to sell the first real estate (02868. HK).