Chapter 1642 [Many Major Events Have Already Taken Place in Advance]
After the weekend, the time came to March.
On Monday, March 1, the A-share market opened. The New Securities 50 Index opened high in the morning and then fluctuated. It continued to rise in the afternoon and recovered the 11,000-point integer mark.
Obviously, it fell too much yesterday, and today is an oversold rebound.
At the close of today, the New Securities 50 Index rebounded by +2.10% to 11,155.50 points. The SGX market had a full-day turnover of 1.85 trillion, which was further reduced compared with the previous trading day. The two neighboring cities also rebounded today, but the rebound was very weak.
"Is there going to be chaos over at Wukelan?" Fang Hong was answering an encrypted call, and he couldn't help but look strange. The other end of the phone was Luo Qingan.
Fang Hong immediately understood it, and he didn't doubt it. The superiors told Fang Hong this news, obviously to let him know. After all, the Qunxing Group currently has a large number of assets deployed worldwide, and the global situation will usher in new changes in the future.
At this moment, except for a very limited number of people, no one in the outside world knew about it, and no one realized that Da Mao and Er Mao were about to have a fight.
"It seems that the Federal Reserve of the United States will officially enter the interest rate hike cycle this month. It is a high probability event..." Fang Hong said in a deep voice: "Okay, I know."
The fight between Da Goose and Er Mao is a signal. At that time, capital will flee on a large scale, triggering the rise of global capital risk aversion. The Federal Reserve of the United States will announce an interest rate hike. This combination of punches will theoretically attract more European capital to flow to North Magnesium.
Obviously, many things have been advanced.
...
The next day, Tuesday, March 2.
In the morning, the SGX market opened, and the SGX 50 Index opened higher by +0.47%. After the opening, it fluctuated higher, and the increase once expanded to 1 percentage point.
However, at 10 o'clock, a breaking news quickly rushed to the headlines of the news. Da Mao and Er Mao had a fight, which became the global front-page headline news for a while.
At the same time, global stock markets fell in response, and international gold prices rose sharply in response.
Soon, the sentiment spread to the A-share market. The Xinzheng 50 Index, which had been fluctuating and rising, began to dive and fall. After that, it maintained a fluctuating downward trend throughout the day, and funds showed a net outflow trend, especially the net outflow of foreign capital increased.
The incident happened suddenly, and many people were confused. There were also countless netizens watching online, and many media even directly started live broadcasts to report the latest developments in real time.
The Xinzheng 50 Index also turned down in the afternoon, not only swallowing up all the rebound yesterday, but also diving more than 4.2 percentage points during the session, with the lowest drop to 10687.24 points, breaking the recent low. About half an hour before the end of the trading session, the Xinzheng 50 Index rebounded a little.
At the end of the day, the Xinzheng 50 Index fell -2.75% to 10848.23 points, with a turnover of 1.96 trillion, a large drop compared with yesterday.
The stockholders of the A-share market were speechless, and some even joked that the two big geese were fighting, and the A-share market would pay the bill.
However, on Wednesday, March 3, after a direct reversal, investors in the A-share market, especially those in the SGX market, said they would never pay for it. What does it have to do with me if the big bulls and the second bulls fight?
So, today, the SGX 50 Index rebounded strongly!
Although it opened low by -0.51% in the morning, it fluctuated higher during the day, and rebounded strongly in the afternoon!
Originally, the market plummeted the day before yesterday and rebounded from oversold. Yesterday's stepping back gave those who wanted to grab the rebound a second chance to enter the market. Today, the SGX market formed a concerted force of long-term investment, so a reverse squeeze was staged!
The market bulls launched a comprehensive counterattack. The SGX 50 Index strongly recovered the 11,000-point mark today. What does a long positive line with bare head and bare feet mean? It rose by +4.54% after the market to 11,340.30 points. The turnover of the SGX market increased to 1.99 trillion. Although it did not break through 2 trillion, it did not make much difference.
The huge gap opened last Friday has been filled by more than half with today's long positive line. Many investors are optimistic that the gap can be filled within this week.
But at this time, it reversed again and then reversed again.
At around 22:00 in the evening in China, it was the morning in the Western Hemisphere at the same time. The Federal Reserve announced the start of the interest rate hike cycle, with the first interest rate hike of 25 basis points, raising the target range of the federal funds rate to 0.25% to 0.5%.
As soon as this news was announced, global investors were agitated and shocked.
Many people thought that the rumor of interest rate hike was a rumor before, but it was not a rumor, but a far-ahead prediction.
…
The next day, Thursday, March 4.
The three major stock indexes in the A-share market fell again. The Xinzheng 50 Index rebounded strongly yesterday, and it opened sharply lower this morning by -2.23%, and it also opened lower and fell after opening.
Theoretically, the rate hike by the Federal Reserve will definitely be bad for the A-share market, because it will attract funds to flow to North Magnesium.
The stock market sentiment is panicking at the moment, but the management is very calm about it, because it has already expected that the Federal Reserve will start a rate hike cycle this year, and it has already done expectation management.
At the close of today, the three major A-share indices fell sharply, among which the New Securities 50 Index fell by -4.52% to 10,828.18 points, with a turnover of 2.05 trillion.
Well, the super long positive line that rebounded strongly yesterday was swallowed up today.
Short-term players can make a lot of money if they step on the rhythm in the near future, but if the rhythm is completely wrong, the losses will be multiplied.
On Friday, March 5, the SGX 50 Index opened sharply lower again by -2.05%, and the annual line almost turned green, basically spitting out all the gains in 2021.
However, it fluctuated higher after the opening, turning red and rising at around 13:00 during the session, and continued to rise in the afternoon, and the 11,000-point mark was once lost and regained.
But it still fell back in the afternoon, and barely closed in the red at the end of the session. In the end, the SGX 50 Index closed up +0.15% at 10,844.01 points, and the turnover of the SGX market was 1.96 trillion.
…
After the weekend, it was Monday, March 8.
The SGX market opened in the morning, and the SGX 50 Index once opened slightly higher, but then went down unilaterally. Panic was increasing, and the market's risk aversion sentiment was rising sharply.
Around 11 o'clock, the SGX 50 Index fell to 10,500 points, and the annual line turned green!
This further increased market panic, resulting in the decline not only not slowing down, but also accelerating the downward trend.
Last week's market fluctuated violently, reversing and reversing again and again, which confused everyone, especially short-term traders. Not many people made money, and most of them lost money last week. Such a market is too difficult to grasp.
After all, not everyone can be as well-informed as Fang Hong.
The vast majority of investors, especially retail investors, were caught off guard. They did not expect that the big and the second Mao would suddenly quarrel, and then the market fell, and then reversed, and then was caught off guard by the interest rate hike of the Federal Reserve.
This kind of market driven by emergencies is difficult for retail investors to predict, and even many institutions were caught off guard.
Today's decline was not driven by a new major emergency, but funds hated this kind of uncertainty factor. Everyone was afraid that something would happen later and catch them off guard.
The recent situation is too uncertain, and the market is too difficult to play. The difficulty has suddenly soared. It is impossible to predict that there will be another unexpected event tomorrow, which may be a sudden positive or a sudden negative.
But it is impossible to predict. Since the market is so difficult to play, everyone simply chooses to avoid risks.
So funds began to choose to withdraw, and off-market funds also held coins and waited and watched, and the market was naturally dominated by shorts.
At the close of today, the New Securities 50 Index fell by -4.31% to 10376.29 points, setting a new low for the year. The turnover of the SGX market was 2.03 trillion. Today's K-line has a long bare-footed Yin line, indicating that it is very likely to continue to fall in the future.
... (End of this chapter)