Zheng Lianghai, chief economist of Fuanda Fund, explained the July Politburo meeting and said that the current Politburo meeting clearly stepped up countercyclical adjustment efforts and planned practical incremental policies. There was no mention of “cross-cycle”, and the policy signal was positive. The conference first proposed “improving the resilience of the capital market” and clearly stabilizing market expectations. In terms of real estate, the “15th Five-Year Plan” for urban renewal has already allocated 257 billion yuan in financial support, but the market still needs to stabilize. In terms of industrial policy, the construction of “artificial intelligence +” and “six networks” will become dual engines for expanding domestic demand and cultivating new quality productivity. Fluctuations in global technology stocks are reflected in the short term in the domestic market, but the direction of technology-led transformation remains unchanged. Zheng Lianghai pointed out that after the market experiences a correction, the stabilization policy will improve expectations. Technology is still the main line in the long term, and sectors with performance support are expected to take the lead in recovering. Short-term interest spreads in the bond market are not sufficiently protected, and there is still room for compression on ultra-long-term bonds. Faced with multiple external disturbances, when the internal incremental policy will be implemented will become the core concern of the subsequent market.

Zheng Lianghai, chief economist of Fuanda Fund, explained the July Politburo meeting and said that the current Politburo meeting clearly stepped up countercyclical adjustment efforts and planned practical incremental policies. There was no mention of “cross-cycle”, and the policy signal was positive. The conference first proposed “improving the resilience of the capital market” and clearly stabilizing market expectations. In terms of real estate, the “15th Five-Year Plan” for urban renewal has already allocated 257 billion yuan in financial support, but the market still needs to stabilize. In terms of industrial policy, the construction of “artificial intelligence +” and “six networks” will become dual engines for expanding domestic demand and cultivating new quality productivity. Fluctuations in global technology stocks are reflected in the short term in the domestic market, but the direction of technology-led transformation remains unchanged. Zheng Lianghai pointed out that after the market experiences a correction, the stabilization policy will improve expectations. Technology is still the main line in the long term, and sectors with performance support are expected to take the lead in recovering. Short-term interest spreads in the bond market are not sufficiently protected, and there is still room for compression on ultra-long-term bonds. Faced with multiple external disturbances, when the internal incremental policy will be implemented will become the core concern of the subsequent market.