What Is a Market Run?

It refers to the movement and development process of the subject and object of the market, as well as the market organization and market mechanism. It is a comprehensive manifestation of the development of market scale structure, functions, factors, and liquidity. The process of market operation is not only the formation and development process of the market economy, At the same time, it is an important indicator of the degree of market economy development.

Market operation

" Regulation, supervision" remains the main tone

At the beginning of the year, the China Securities Regulatory Commission investigated the relevant institutions for allegedly manipulating the stock prices of Yi'an Technology and Zhongke Ventures, thus kicking off the "Regulatory Year"; in mid-January, the People's Bank of China strictly checked the entry of credit funds into the market and increased Intensified the supervision of bank credit to prevent new financial risks; in mid-February and the end of February, the CSRC issued the "Measures for Suspension and Termination of Listing of Losing Listed Companies" and revised drafts. With the introduction of this regulation, PT Narcissus and PT Yuejin Man and PT Zhonghao have delisted one after another, and the high-risk nature of the securities market is no doubt revealed again in these stocks; in mid-June, the management measures for reducing the holding of state-owned shares to raise social security funds were announced, stipulating that the initial issue and additional offerings should be based on market prices 10% of the financing amount reduces the holding of state-owned shares. In 2001, although the stock market indexes of the two cities fell sharply, the government's determination and confidence to strengthen supervision has never wavered. 2001 can be said to be a year of securities supervision.

Traces of " policy city" are obvious

While strengthening supervision in 2001, the traces of the policy city are very obvious. In fact, in recent years China's securities market. From a commentator's article on the People's Daily on December 16, 1996 to the May 19, 1999 market, the government's intervention has been relatively strong. It will die as soon as it is released, and it will be chaotic when it is released. The market fluctuates greatly. This was in 2001. Is still fully reflected in the securities market. With the gradual increase in the supervision of the Securities Regulatory Commission, a large number of problem stocks such as Yinguangxia, Dalian International, Digital Mapping, and Phoenix Optics have been exposed, causing the stock market in the secondary market to continuously dive. For a time, the stock market plummeted, the stock market value evaporated, and the market was permeated with a strong panic atmosphere. Under this circumstance, the CSRC introduced two major benefits of suspending state-owned shares reduction and stamp duty reduction, which effectively stopped the decline in the securities market, the market gradually recovered, and entered the main track of box shocks.

The generally poor fundamentals of listed companies are the main factors restricting the healthy development of the stock market

For a long time, the price of stocks must conform to its intrinsic value, which is the most essential law inherent in the securities market. From the perspective of the current securities market, the fraudulent behavior and operating performance of listed companies have generally been the most important factors restricting the healthy development of China's securities market. Among them, the underwriting and issuance departments of securities companies, some accounting firms, law firms, and related intermediaries all have inescapable responsibilities; at the same time, these departments and related personnel have also been seriously investigated and punished by law. China has now officially joined the WTO. At the beginning of WTO accession, some industries and listed companies in China will face huge impacts and challenges. As a representative of China's economically outstanding companies, listed companies need to improve their overall scale and operating performance.

The investment philosophy is becoming more rational, but the speculative atmosphere is still strong

With the sharp decline in the stock market in 2001, many troubled stocks appeared. Most of these stocks appeared in the face of continuous diving and a nearly full year of decline. While the securities market is becoming more and more regulated, it is also gradually becoming mature. The investment concepts of investors have gradually matured with market education, but the atmosphere of speculation remains strong. In the middle of 2001, on the one hand, three PT stocks were delisted; on the other hand, through the analysis of a few strong stocks in 2001, a group of loss-making stocks such as PT Rural Co., Ltd., ST Huangheke, ST Qingjian, etc. Under the pressure, the secondary market trended strongly. In particular, PT Rural Commercial Co., Ltd. has been trading daily limit since February 23, becoming the largest bull stock in 2001. This money-making effect and the huge imagination space brought about by fundamental changes make the market speculative atmosphere still strong.

B shares became a big highlight in 2001

Since 2000, the B-share market has experienced a considerable increase. The annual increase has more than doubled, ranking first in the world. On February 28, 2001, with the positive stimulus of the opening of the B-share market to domestic investors, the B-share index rose 3 times, and many stocks rose more than 5 times, forming a strong contrast with the A-share market. The B-share market stimulated by favorable policies was a highlight of 2001. In contrast, the A-share market can be said to have no decent market throughout the year. Compared with previous years, there has been no rise in the sector. Even during the relative rise from February 22 to June 14, B shares played an important role.