The domestic economy is in full swing, and foreign giants are "sweeping" A-share

Introduction

In this era of transformation and rapid economic development, China's A-share market is becoming the new favorite of global investors. The domestic economy continues to improve, with various economic indicators steadily rising, which undoubtedly injects a strong stimulant into the A-share market. Foreign capital is optimistic about China's A-share market, and foreign giants are also vigorously "sweeping up" Chinese assets. This is not only a recognition of China's economic development but also an affirmation of the potential of the A-share market.

Recently, data disclosed by the Hong Kong Stock Exchange shows that JPMorgan Chase has significantly increased its holdings of several Chinese stocks in the Hong Kong stock market, including China Merchants Bank, Hong Kong Exchanges and Clearing, China Duty Free, and Bilibili, with a sweep amount exceeding 3.3 billion Hong Kong dollars in one day. JPMorgan Chase stated that if the performance of Chinese companies continues to improve and asset prices stabilize, foreign capital may further increase the allocation of Chinese stocks. This is not only a confidence in China's economy but also an expectation for the future performance of the A-share market.

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At the same time, the wealthy from the Middle East are also showing a strong interest in China's public fund companies. It is reported that the Qatar Sovereign Wealth Fund has agreed to acquire a 10% stake in Huaxia Fund, China's second-largest public fund company, from Primavera Capital, and is currently in the approval process of the China Securities Regulatory Commission. If the transaction is successful, the Qatar Investment Authority will become the third-largest shareholder of Huaxia Fund. This is not only a trust in China's fund industry but also an optimistic view of the future development of the A-share market.

In the field of new energy, China's development prospects are equally eye-catching. Guangdong Province has introduced a distributed photovoltaic development action plan, aiming to achieve a 50% coverage rate of new factory building roof photovoltaics by 2025 and full coverage by 2030. This indicates that there is a huge development space for rooftop photovoltaics in the future, and photovoltaic facilities will gradually become the standard for new factory buildings and residential areas, with photovoltaics slowly entering thousands of households.

In terms of new energy technology, the strength of Chinese companies is also not to be underestimated. BYD's subsidiary, Fudi Battery, has reached a supply agreement with Tesla and will supply energy storage cells to Tesla in the first quarter of next year. Some time ago, Tesla had already ordered 45GWh of lithium iron phosphate batteries from CATL for next year's sales plan, and these batteries are mainly used for the Model 3 and Model Y models. In addition, CATL is also cooperating with Tesla to develop faster charging battery technology. This not only shows that China has entered the international market in the field of new energy but also indicates that the technical strength of Chinese companies has reached the top level.

From both a macroeconomic perspective and an industry development prospect, China's A-share market has tremendous investment value. Now is a great time for investors to build positions in A-shares and China. For many people who lack confidence in A-shares, they often pay too much attention to the current market fluctuations and ignore the long-term economic development trend. A lack of foresight is the root cause of people's lack of confidence in A-shares.

Investing in A-shares is not only investing in a market but also investing in the future of a country. With the continuous improvement of China's economy, the influx of foreign giants, and the vigorous development of industries such as new energy, we have reason to believe that the future of the A-share market will be even better.

Yesterday, several of my friends have already used the dividends they received to continue to increase their positions in blue-chip stocks. Like me, they also expressed their continued long-term optimism about A-shares and these high-quality companies. The stocks they hold are in the consumer, photovoltaic, and artificial intelligence sectors. I think their choice is extremely correct, and their current correct decision is like planting golden seeds, which are almost destined to yield a bumper harvest in the future.

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