outlet juicy conture sale March is the month to watch - China Mailing Bags - China Promotional Carrier Bags
March is the month to watch - China Mailing Bags - China Promotional Carrier BagsMany Chinese stock buyers love to bet on short-term market movements on special occasions.Every year around the Spring Festival, they buy distillers, hotels and highway operators to cash in on the travel and consumption peak season.on.When National Day approaches on Oct 1, fireworks makers and defense-related companies often become the stars of the market.And in 2008, the Olympics sparked a spring rally of some sports companies even when the general index was mired in a horrible slump,juicy conture outlet.Now, all eyes are on the upcoming annual National People's Congress (NPC) session, scheduled to open on Friday and last about two weeks.The bet is that the legislative session will send new policy signals that can cheer up the market.So, will the NPC session coincide with a rally of the Shanghai market that has undergone seven months' consolidation?Historical statistics offer some encouraging clues. Since the establishment of the Shanghai Stock Exchange, the month of March has seen 12 rises and six declines.But be careful, the dark Marchs, though not many, really hurt. The Shanghai Composite Index tumbled 30 percent in March 1993, while the most recent bear in 2008 saw it shed 20 percent during the month.Many individual companies dropped twice as much as the general index. Therefore, short-term traders must weigh up the pros and cons before putting bets on the annual NPC session.There are some positive signs for the market in the short term.The US dollar seems to be taking a breather after rising around 9 percent in the past three months, easing the pressure on commodities and emerging markets. That may buoy metals, coal miners and petroleum companies that are heavyweights and were the worst performers in China's stock market over the past six months.Liquidity is likely to remain loose in the near term despite regulators' moves to curb lending to avert bubbles, as front-loaded Chinese lenders tended to rush to give out a big chunk of loans at the beginning of the year to ensure decent profitability for the whole year.New loans issued by banks reached 1.39 trillion yuan in January, compared with the record 1.62 trillion yuan that banks extended a year ago. Analysts said at least 60 percent of the total credit would be advanced in the first half of this year,juicy conture outlet online.Regulatory moves are probably less unpredictable this month. After the central bank hiked bank reserve requirements twice so far this year, the likelihood of further surprise moves in the short term is low.Comparatively, unfavorable factors in the market are fewer at this point. One main concern is the development of the debt crisis in Europe, which could have psychological repercussions for investors in world markets including China.If major indices such as the Dow Jones and the FTSE continue sideway movements in the coming weeks, it may also limit the upward momentum in the Shanghai Composite Index.While the general circumstances offer cause for cautious optimism, the point of the Chinese stock market's March performance is not about how many points the index might move. It's a hard and risky game if we simply want to bet on the market's short-term movements.The real point is that given what is relatively the best environment in a year in terms of policy, money supply and market mood, March can be a barometer of the momentum of the economy and the intrinsic trend of the market.Of the six stagnant Marchs in the history of China's stock market, most of them occurred amid a bearish trend that lasted for a year or even longer, and most rallying Marchs were in bull cycles.The market is at a sensitive point. There are good stories such as signs of economic recovery and better corporate earnings.But there are causes for concern such as the Greek crisis and fears of a double-dip recession.Therefore, when we look back at the end of this March, the performance of the stock market may give us some clues as to where we are.The author is executive business editor of China Daily,outlet juicy conture sale. We are high quality suppliers, our products such as China Mailing Bags , China Promotional Carrier Bags for oversee buyer. To know more, please visits Charcoal Paper Bag.
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