A shares stick to the myth that they will never break 3000 points, while the external stock market has reached tens of thousands or even hundreds of thousands. A shares are still below 3000 points and will never rise, but when the external stock market falls, it will inevitably fall. This is what makes our big A different. We insist on rising less and falling more, rising slowly and falling fast.
There are three main reasons why the China stock market can't rise:
First, the Shanghai Composite Index adheres to the principle of not breaking 3000 points. It broke through 3000 points in 2007. In May 2020, the Shanghai Composite Index fell below 3,000 points, still hovering around 2,800 points.
Second, our A-share market is a financing market, IPO has never stopped, and a large number of new shares are issued every year. Due to the issuance of new shares, the stock market attracted a little money to come in and wander around. Due to the issuance of a large number of new shares, the stock market funds can never be replenished, which leads to poor blood circulation and many problems.
Third, A shares are a speculative market, which has been harvested clean. Before liberation, as long as the stock rose and then fell quickly, how did the big A shares insist on rising and falling?
Why do peripheral stock markets always skyrocket?
The mature stock market in the periphery is different from our stock market, mainly due to the following factors.
First, the value investment in the peripheral stock market is aimed at the long-term market and pursues long-term interests. Therefore, the disk of the external stock market is very stable and the selling pressure is not heavy. A little money can drive the stock market to skyrocket.
Second, the external stock market can rise, mainly because the stock market system is very mature and the management mechanism is good, which can make the stock market rise and will not let some parasites confuse the market in the stock market at all.
Third, the external stock market can soar, which is related to our own country, similar to the US stock market. Whenever the U.S. stock market plummets, it will release benefits to the market, boost the stock market surge, stabilize the stock market sentiment, and not allow the stock market to plummet. I just hope that the stock market will continue to rise healthily.
A-share market in recent 10 years
As of today's close, the Shanghai Composite Index closed at 2846 points. /kloc-there is still room to break through 3000 points above 0/00.
In addition, on June 22nd, 2007, the Shanghai Composite Index successfully broke through 2,846 points, and rose from 2,832 points to 2,934.65 points that day. The market unilaterally rose by 102 points, or 3.57%, which was an accelerated bull market in 2007.
After 13 years, our A shares are still below 2900 points, which shows two problems. First, our A shares really didn't go up, but fell. Secondly, our A-shares rose by zero in the past ten years, returning to before liberation.
However, since 13 years, the external stock market has skyrocketed, and US stocks have risen from 6,500 points to 30,000 points. The Indian stock market rose from 10000 to more than 40000; Brazil's stock market rose from more than 30,000 points to1.20,000 points; Even the depressed Japanese stock market rose from 10000 to more than 20000. These are all peripheral markets. /kloc-in the past three years, only A shares in the global stock market have gone out of negative growth.
Summarize and analyze
According to the above analysis of A-share market and external market, we know that A-share market will never rise, or external market will never rise. These are the reasons, and these reasons are to find the reasons and factors from the beginning. Summarize it in one sentence? Poor man, there must be something hateful? The reason is the same.