Morning Brief 2022-07-28

DZ20220728

*Key points

Top News

*Economic growth and higher temperatures have led to power consumption repeatedly breaking records, and demand will continue to grow into August during the traditional peak period. NEA will ensure the residents’ use of electricity, said He Yang, director of the National Energy Administration’s power division.

*NEA will work with other ministries to push for permitting and financial support for massive renewable energy facilities in China’s deserts. First batch of wind-power and solar projects are all under construction; second batch will mostly be located in Inner Mongolia, Ningxia, Xinjiang, Qinghai and Gansu: Li Chuangjun, head of NEA’s new energy bureau, said at the same press conference.

*NEA vows to continue to push forward the trial and demonstration of new energy storage; vigorously development non-fossil energy; promote the construction of new electricity system.

 

Property

*Zhengzhou local government summons eight property developers and offers four plans to help them complete unfinished housing projects including government platform takeover, acquisition to solve cash flow issue, bankruptcy and restructuring, and government-backed rental housing.

 

Industry

*Hainan local govts jointly issued a notice to start the application of subsidies to encourage the use of new energy vehicles in 2022. The operation service subsidy can be applied for up to 30,000 yuan, and individuals can apply for up to 2,000 yuan for charging expenses.

 

Co Focus

*Huawei's Harmony OS3 was officially released on the evening of July 27 and it can run on a wide range of smart devices, including printers, smart glasses, vehicles, etc. In addition to mobile phones, smart screens, PCS and other devices can also become the central devices of the HyperTerminal.

*Shanghai Fosun Pharmaceutical has signed a strategic cooperation agreement with Sinopharm Group to accelerate nationwide channel network coverage of Azvudine tablets, it said on Wednesday

 

July 27th Block Trade

*Block Trade Info

*Discount

- SMIC (688981 CH) saw 1 block trade worth 40mn at 40.35 yuan per share, 1.49 discount from last closing.

- China Gold (600916 CH) saw 4 block trades worth 15mn at 12.22 yuan per share, 14.77 discount from last closing.

- Yonyou Network (600588 CH) saw 8 block trades worth 234mn at 21.39 yuan per share, 0.13 discount from last closing.

- Trina Solar Co (688599 CH) saw 15 block trades worth 313mn at 75.43 yuan per share, 6.18 discount from last closing.

- Jushri Tech (300762 CH) saw 4 block trades worth 95mn at 11.48yuan per share, 13.73 discount from last closing.

- Anysoft IT (300571 CH) saw 10 block trades worth 40mn at 40 yuan per share, 13.34 discount from last closing.

*Flat

- Avic Heavy Machinery (600765 CH) saw 5 block trades worth 62mn at 31.14 yuan per share, 0.00 discount from last closing.

- Wangfujing (600859 CH) saw 2 block trades worth 28mn at 22.57 yuan per share, 0.00 discount from last closing.

Premium

- Yonyou Network (600588 CH) saw 8 block trades worth 234mn at 21.39 yuan per share, 0.13 premium from last closing.

 

*Margin Trade

*Connection Trade

*Index Futures

*Index Options

*Treasury Futures

 

*Night Session Commodities Market (As of 02:30 am)

 

Commodities (night session):

* Global crude oil price closed up collectively. September NYMEX crude oil contract up 3.31% to closed at $98.12/b, September Brent contract up 2.91% to closed at $102.35/b. INE crude oil active contract up 1.56% to 676.7 yuan/b. EIA report showed an over expected decrease of oil storage.

* Precious metals closed up collectively. COMEX gold active contract up 0.86% to closed at $1732.4/oz, SHFE gold active contract up 0.46% to closed at 378.28 yuan/gram. US Fed higher the interest rate 75bps as expected, USD index and yield on government bond dropped, which provided a relative positive environment for gold due to lower expectation on range of interest rate hikes in the future.

* Metals closed up mostly. LME copper up 1.57%, LME aluminum up 0.19%, LME nickel up 0.18%, LME tin up 0.04%. LME lead down 0.64% on contrast. SHFE aluminum up 1.64%, SHFE copper up 1.01%, SHFE zinc up 0.62%, SHFE nickel down 0.93% on the contrast.

* Commodity futures closed up mostly. Energy & chemistry futures showed a strong performance, EB up 3.48%, MEG up 3.08%, PVC up 2.8%, PTA up 2.19. Black series went up collectively, coking coal up 4.52%, coke up 3.47%, iron ore up 2.84%, thermal coal up 1.38%. Agricultural products closed up mostly, RBD palm olein up 2.68%, soybean oil up 2.49%, No.2 soybeans up 2.29%, rapeseed meal up 1.88%. Cotton down 0.17% on the contrast.

 

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