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Over 4,400 A-Shares Decline; Top 10 Northbound Holdings Revealed
A-shares suddenly plummet, while Northbound Capital quietly increases its holdings?
On October 15th, the A-share market suddenly suffered a heavy blow, with the three major indices collectively diving, catching many investors off guard. On the same day, the Northbound Capital's third-quarter stock holding data was released, revealing that the holding value had quietly increased by nearly 500 billion yuan.
Who is to blame for the stock market dive?
That day, the A-share market seemed to have fallen into an ice cellar. The three major indices all plummeted downwards, with the Shanghai Composite Index and Shenzhen Component Index both falling by 2.53%, and the ChiNext Index plummeting by 3.22%. The entire market was gloomy, with over 4,400 individual stocks falling, creating a sea of red.
Many investors were complaining, "Where is my money?" and "Who is selling off?" But who could have thought that amidst this sea of red, there was actually a hint of green quietly blossoming. The internet e-commerce sector actually rose against the trend by 2.64%, becoming one of the few sectors that increased that day.
Behind this unusual phenomenon, there is actually a little-known secret - the "Double 11" shopping festival has started early. The big promotion activities that used to start on November 1st have been advanced by 10 days this year, and the duration has been extended to about a month. No wonder e-commerce stocks are so excited, as if they see the upcoming "money scene".
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The subtle intentions of Northbound Capital
While the A-share market was plummeting and causing panic, Northbound Capital acted like a quiet veteran player, quietly increasing its holdings. According to the latest data released, as of the end of the third quarter, the total value of A-shares held by Northbound Capital reached an astonishing 2.41 trillion yuan, which is nearly 500 billion yuan more than on August 16th.
What did these "smart money" people see in the market? The data shows that they favor the power equipment industry the most. In terms of individual stocks, "Moutai" and "CATL" remain their favorites. Kweichow Moutai holds the top spot with a holding value of over 150 billion yuan, followed by Contemporary Amperex Technology Co., Ltd. (CATL), with a holding value of over 120 billion yuan.
Interestingly, Northbound Capital holds 3,380 individual stocks, covering almost the entire A-share market. This makes people wonder, are they casting a wide net or do they really have some unique insights?New Ways to Play with the Shanghai-Shenzhen-Hong Kong Connect
In fact, these subtle moves by the northbound capital are not unrelated to some recent adjustments in the Shanghai-Shenzhen-Hong Kong Connect mechanism. It is said that this adjustment has relaxed some restrictions, giving northbound capital more room for maneuver.
Market analysts have pointed out: "This adjustment may make the investment strategies of northbound capital more flexible; they may be more inclined towards medium to long-term investments rather than short-term speculation."
However, some are concerned: "Will it attract more speculative funds? After all, the inflow and outflow of foreign capital may cause greater fluctuations in the A-share market."
The Double 11 Battle is Imminent
Speaking of "Double 11," this year's competition may be even more intense. In addition to the traditional Tmall and JD.com, newcomers like Douyin, Kuaishou, and Pinduoduo are also gearing up for a big fight.
A senior executive from an e-commerce platform revealed: "This year, we have prepared more promotional activities, hoping to stimulate consumers' desire to purchase." However, some consumers have expressed: "It feels the same every year, and there's nothing new."
In response, an economist analyzed: "Double 11 has become more than just a shopping festival; it is more like an economic barometer. From it, we can discern consumer confidence and the overall direction of the economy."
Where is the Future of the Stock Market?
Returning to the stock market, although this downturn has left many investors feeling uneasy, some believe it might be an opportunity. A securities analyst stated: "The market is always cyclical; it may be at a low point now and could rebound in the future."However, some people maintain a cautious attitude: "The current international situation is complicated, and the domestic economy also faces some challenges. It is better to be careful when investing."
For ordinary investors, perhaps the best advice is not to put all eggs in one basket; diversified investment is the way to go.
Overall, the sudden decline in A-shares and the increase in Northbound funds, coupled with the upcoming "Double 11," have made the entire market unpredictable. As ordinary investors, what we can do is to stay calm, analyze rationally, and not be confused by short-term fluctuations. After all, the stock market is like a marathon; what matters is not the speed at a moment but whether we can persist until the end.
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