Hong Kong stock market outlook
Looking at the US contraction, the Hang Seng Index is weak. This week's focus on the US Federal Reserve's interest rate decision on Wednesday night, is expected to start a contraction, reducing monthly holdings of $ 10 billion in securities. The market should have sufficient expectations for the contract itself, but it is necessary to pay attention to whether the US dollar exchange rate will rebound this year, which will put pressure on emerging markets. However, the UK and the Eurozone also have expectations for tightening monetary policy, which may limit the dollar's rebound. On Thursday, the Bank of England maintained its monetary policy unchanged as expected, but indicated that it may raise interest rates in the coming months. European Central Bank hawksman Sabine Lautenschlaeger said on Friday that economic growth and low interest rates in the euro zone will bring inflation back up, and the European Central Bank should reduce its bond purchases early next year. It is expected that the Hong Kong stock market will have a strong wait-and-see attitude at the beginning of this week. The Hang Seng Index is weak, and the funds continue to be speculated in individual sectors. The key support is the “small double top†neckline of 27,422.
Daily Share: Mutual Textile (1382 HK)
Basic factors: China's leading fabric manufacturers, major customers include UNIQLO, L Brands (with Victoria's secret brand) and so on. The two major negative factors this year, including the one-time loss of the Vietnam factory’s suspension due to the conflict between the local government and residents, and the appreciation of the renminbi against the US dollar, have been fully reflected in the stock price. The current price has a 7-8% dividend rate to support . We expect the improvement in the second half of fiscal year (the end of March) and the fiscal year of FY19, as 1) the Vietnam factory can be re-produced, and 2) the cooperation with the new customer Anta (2020 HK) is closer, two years. The compound growth rate is about 100%. 3) After Dongli announced its shareholding in June this year, it will help each other to strengthen the relationship with UNIQLO to obtain more orders and use Toray's customer base to develop more new ones. Japanese customer (currently only UNIQLO a Japanese customer). The current price is HK$8.05, which is equivalent to a FY18 P/E of 13.6x, which is a considerable discount to the five-year average of 15x and Toray's share price of HK$10.0.
Technical Analysis: After Dongli announced its shareholding in June, the stock price began to fall due to the loss of production in Vietnam. After falling below the rampage, it created a “double bottom†bottom in August and September.
Buy: current price
Target: 9.0 yuan
Stop Loss: 7.5 yuan
Economic and industry quick review
The growth rate of M2 has reached a new low, confirming the new normal. The People's Bank of China released data for August last Friday. The year-on-year growth rate of M2 money supply fell to 8.9%, which was a record low. The newly added social financing scale was 1.48 trillion yuan (RMB, the same below), an increase of 18.6 billion yuan year-on-year. Yuan; financial institutions' RMB loans increased by 1.09 trillion yuan, which is better than market expectations. The household sector loans are still the main driving force. We believe that the low growth rate of M2 growth has once again confirmed the arrival of the “new normalâ€, reflecting that the regulatory authorities continue to promote financial deleveraging. The newly added credit in the table accounted for 75.5% of the newly added social financing, which is still the most important driving force for social growth.
Short Hoodie With Zipper is our new fashions and have good quality,this fabric is very soft and the main fabric is 41%cotton 55poly 4%spandex ,if u wear it,it will looks youth and full of sunshine,embroided is printed in the sleeve.if u have other requirements,please send to us,we will try our best to do well.
Short Hoodie With Zipper,Short Design Zip Hoodies,Short Sleeve Zipper Hoodie,Zip Hoodies With Thress Colors
Shaoxing PinSheng Garment co,ltd , https://www.psfsshirts.com