BEIJING, Dec. 8 (Xinhua) --China's stock market is likely to see bubbles of this round of bull run in 2021, with annual capital inflows expected to top two trillion yuan, reported Xinhua Finance, a Xinhua-run financial information platform Tuesday.
The report cited a research report by Haitong Securities, noting that despite the inevitable exit of the non-regular monetary policy and likely back-to-normal macro monetary supply when entering the post-epidemic era in 2021, the stock market would be more influenced by market liquidity conditions.
In other words, turning point of a stock market keeps in line with market liquidity conditions and lags behind advent of the turning point of the macro monetary supply.
Generally, paces of capital influx under a bull run is divided into three phases, which are wait and see, re-entering and pouring in.
This year, the country's stock market has been running in the early period of this bout of bullish trend, with net annual capital influx anticipated to reach 1.5 trillion yuan.
Since outbreak of the COVID-19 in 2020, its influence dented deeply the economic fundamental and by the yearend of 2020, China's A-share companies are deemed to reap just turning positive net profits, the report said. (Edited by Duan Jing with Xinhua Silk Road, duanjing@xinhua.org)
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