A shares surged on the last trading day before the holiday, and the timing was clever, which also exposed what the leadership/decision-makers were thinking. Let's take a peek.
After several days of rapid growth, Chinese stock investors were completely excited, like a long drought finally ended. The club dared to shout "change a batch", and even a bowl of noodles had to have an egg added. To put it bluntly, this is what the leaders want to see.
What do the leaders think, what do the leaders want, and what is the most difficult problem in China now? Consumption! Consumption! Still consumption. Insufficient domestic demand is the bosses' biggest headache, and all kinds of stimulus and interest rate cuts have been ineffective before.
Why did A shares surge on the last trading day? It's been years since we've seen it. First, today's surge has kept the topic of A shares fermenting throughout the National Day holiday; second, it is also a wave of tests to test whether the rise of A shares will stimulate residents' consumption during the holiday.
"Whether the rise of A shares will stimulate residents' consumption during the holiday" is the data we should pay attention to first after the holiday, compared with last year's National Day holiday and the May Day holiday.
If the consumption data also goes off the charts, leaders will see that it is an effective way to stimulate consumption and the economy. We will also see explosive performances before the Spring Festival. Remember this sentence, it is the code of wealth.
Finally, I still want to advise everyone to stay calm. Being too excited will lower your IQ and affect your judgment. The leadership needs to be a long bull and a slow bull. Read the words of the leaders carefully three times: guide the healthy development of the financial market. The bull of A shares will be longer than before. Don't engage in capital allocation/leverage, just take the spot honestly and play slowly. Don't go short.