Chapter 192: Market Fluctuations, Quantitative Mine
Wednesday, February 7, 2024.
Today, the Shanghai Composite Index opened directly at 2791 points, stimulated by yesterday's positive news.
After the Shanghai Composite Index briefly fell to 2770 points at the opening, it rose to 2797 points in just three minutes. After that, it fluctuated below 2800 points for more than ten minutes and then rose to above 2800 points in one breath.
Finally, the Shanghai Composite Index fluctuated above 2,800 points and eventually closed up 1.44%, closing with a medium-sized positive line with large volume throughout the day.
Small and medium-sized stocks rebounded strongly, with more than 100 stocks hitting their daily limit, while large-cap stocks such as coal and oil, which had previously performed strongly, weakened instead.
The Shenzhen Component Index continued its upward trend from yesterday, closing up 2.93% on strong trading volume. The ChiNext Index also surged 2.37% on strong trading volume.
Many stocks have been on the rise for two consecutive days.
The market's bullish sentiment further surged.
Today, the trading volume of the two markets exceeded one trillion!
For several consecutive days before this, all major indexes plummeted, hitting new lows, and then rose violently for two days, just like hitting investors with a club first and then feeding them two sweet dates.
This makes many investors hesitate.
I want to enter, but I am afraid that the price will fall again after rising; if I don’t enter, I am tempted by this wave of market and envy the red envelope market in front of me.
Unlike stock investors who are singing and dancing to celebrate the New Year in advance, quantitative funds have been hit by a huge bomb in recent days.
In just two weeks, some quantitative funds suffered losses of as much as 30%, and neutral strategies and DMA products plummeted one after another.
Relying on the reduced stock market volatility in the past three years, quantitative funds have achieved good performance. However, as soon as 2024 arrived, they encountered violent fluctuations in the stock index. They all began to feel uncomfortable with the environment and their performance continued to decline. On February 6 alone, more than 400 quantitative funds were listed on the Dragon and Tiger List, which was quite spectacular.
After three years of hard work, we are back to where we were before liberation.
In this market, there are no unchanging strategies, only ever-changing markets.
When you rely on a strategy and make more and more profits, risks also come along. If you don’t discover them in time, your profits will eventually be lost.
In addition to the collapse of quantitative funds, there was another piece of news that shocked the forum.
That is, ZJH changed its leader, Wu Qing took office. The change of leader at this sensitive time is of great significance.
An old stock investor joked: "Don't clear it."
"What do you think of today's change of leadership? Some people say that the meaning of the above is to change people without changing ideas, and the stock market will be bullish!" Xiao Bo browsed the messages in the forum and sent them to Li Feng.
Ever since he went to Li Feng's teahouse to drink tea, he felt that Li Feng's investment philosophy was quite beneficial. Whenever he had something he didn't understand, he liked to ask, and he almost always gained something.
After receiving the message, Li Feng sent a voice message:
"Since the 2015 stock market crash, especially after Ping An Insurance's shocking performance, we should have a clear view: GJD has basically achieved control over A-shares, rather than being indifferent or unable to control them as many people imagine."
"Over the past three years, the stock market has been fluctuating within a narrow range around 3,200 points, with no major surges or declines. Naturally, this has not triggered any financial risks. From a policy perspective, this has been very successful."
"The reason I'm getting involved in the stock market now is because many external conditions are slowly changing..."
"What external conditions are changing?" Xiao Bo was a little confused.
"Think about it: since the Federal Reserve started raising interest rates, various domestic policies have actually begun to tighten. The government will not push up various assets, which will lead to further capital outflows."
"Since August last year, the stock market has been in a state of panic, and now it has fallen to over 2,600 points. The direct intervention to rescue the market is partly due to the prediction that the Federal Reserve has entered a cycle of interest rate cuts, and partly because the excessive decline in the stock market has threatened financial security."
"I believe that the day when the Federal Reserve starts cutting interest rates will signal the start of a bull market in the A-share market. With the easing of liquidity both domestically and internationally, inflation will resurface, and the stock market will continue to rise."
"It can be said that the invisible hand is now adjusting strategies and modifying the rules. We must stand on its side, just like before, and closely follow this biggest dealer."
"As for the coaching change, there may or may not be such considerations. We should look at it objectively."
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Fellow stockholders, please give me one for free to generate electricity for love.
Your support is my latest
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