DZ20220928

 

Policy

* The State Council general meeting held on Sept 27th focus on burden alleviation and bailout of market entities which suggest 1) payment deferral of 14 administrative fees, worth cny 53bn in total and margins of project quality, worth around cny 63bn; 2) preferential treatment on policy supported and commercially operated personal pension funds with cny 12k pre-tax deduction quota set, no tax collection on investment gains and income tax burden cut from 7.5% to 3%; 3) draft in promoting development of individual business was approved which clarified fair treatment and protection of legitimate rights; 4) whole year food capacity over 0.65tn kg to be realized.

 

Financials

* National Council for Social Security Fund said to enrich investment pattern through investment scale expansion of market-oriented equity funds and increasing proportion of industrial investment in asset allocation.

* MoF and 2 other depts jointly issued announcement to step up supports on pre-tax deduction of tech innovation and equipment purchased by high-tech firms during Oct 1st 2022 to Dec 31st 2022 are allowed to be deducted in calculation of tax payable. Firms apply to R&D pre-tax deduction of 75% to be lifted to 100%.

 

Industrial Economy

* The 3rd batch of centralized procurement of high-value medical supplies announced bidding results and saw average price cut by 84% with annual expense of cny 26bn to be saved, 688161, 002901 and 688085 are all on the list.

* The 3rd round of centralized land auction in Shanghai saw total traded value of cny 105.4bn at average premium rate of 2.45%, slightly down vs the last round.

 

Sep 27th Block Trade

*Block Trade Info

*Discount

- Chongqing Construction (002419 CH) saw 1 block trade worth 136mn at 3.71 yuan per share, 0.8 discount from last closing.

- China Shipbuilding Industry (601989 CH）saw 1 block trade worth 719mn at 3.5 yuan per share, 0.57 discount from last closing.

- Power Construction (601669 CH）saw 1 block trade worth 795mn at 7.01 yuan per share, 0.57 discount from last closing.

- Shanghai Gentech Co. (688596 CH) saw 7 block trades worth 48mn at 34.44 yuan per share, 19.91 discount from last closing.

- Joinn Laboratories (603127 CH) saw 4 block trades worth 104mn at 59.64 yuan per share, 2.74 discount from last closing.

*Flat

- Zijin Mining (601899 CH) saw 2 block trades worth 115mn at 7.85 yuan per share, 0.00 discount from last closing.

- Zaisheng Tech (603601 CH) saw 5 block trade worth 49mn at 5.71 yuan per share, 0.00 discount from last closing.

-Wanhua Chemical(600309 CH) saw 1 block trade worth 628mn at 78.55 yuan per share, 10.39 discount 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. November NYMEX contract up 1.63% to closed at $77.96/b, December Brent contract up 1.89% to closed at $84.43/b. INE crude oil active contract up 0.41% to 615.4 yuan/b. Global oil price rebounded from a nine moth’s low point. Message showed that Russia is going to clamour for a production reduction by 100 b/day on OPEC+ meeting.

* Precious metals closed mixed. COMEX gold contract up 0.19% to closed at $1636.5/oz. SHFE gold active contract up 0.12% to closed at 384.74 yuan/gram.

* Metals closed down mostly, LME zinc down 2.53%, LME nickel down 2.05%, LME aluminum down 1.75%. SHFE nickel down 2.35%, SHFE zinc down 1.36%, SHFE aluminum down 0.5%.

* Commodity futures closed mixed. Energy & chemistry futures saw a strong performance, methanol up 2.2%, soda ash up 1.69%, glass up 1.51%, TSR 20 up 1.46%, bitumen up 1.41% fuel oil up 1.1%. Black series went up collectively, hot-rolled coil up 0.96%, iron ore up 0.84%. Agricultural products closed mixed, rapeseed oil up 2.94%, rapeseed meal up 1.65%.

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