Several chief securities talk about the stock market: the conditions for stabilizing and rebounding are ready, and the A-share market has sufficient long-term resilience.

date
21/07/2026
Recently, the A-share market has experienced a phase of adjustment. Several chief economists and chief analysts from securities firms have stated that the recent adjustment is due to the transmission of external input factors and is a technical pullback. They believe that the current market conditions are ripe for a rebound and that A-shares have sufficient long-term resilience. Zhang Jun, chief economist and director of the Research Institute at China Galaxy Securities, stated that recent hawkish statements from Federal Reserve officials have pushed up US bond yields and the US dollar index, suppressing globally overvalued growth stocks. US stocks, as well as tech stocks in Japan and South Korea, have collectively experienced a significant decline, causing panic in the storage industry chain to spread across borders. Combined with the escalation of geopolitical factors and rising oil prices, this situation is seen as the passive transmission of external sentiment. Huang Wentao, chief economist at CITIC Securities, said, "Short-term impact may change the trading pace, but it cannot change the direction of domestic policies and the trend of the technology industry. The recent downturn in overseas markets is digesting concentration and leverage issues, whereas A-shares have structural differences in terms of liquidity environment, trading congestion, and driving force for growth. Compared to overseas markets, A-shares are trading at a discount that does not completely match their own risk structure." In the view of Chen Li, chief economist and director of the Research Institute at Chuancai Securities, the domestic macroeconomic fundamentals and industrial development logic have not shown a weakening trend. Economic support policies continue to be implemented, manufacturing profits are recovering, and future industrial cultivation is steadily progressing.