A-share market has shown overall strength, margin balances hit a near 10-year high.

Recently, the overall trend of the A-share market is upward. In July, the number of new A-share accounts increased by 1.9636 million, a year-on-year increase of over 70%. At the same time, the total amount of margin financing and securities lending, to some extent, can reflect the balance of market long and short forces, also recently reached a new high in nearly ten years. The latest data from China Securities Depository and Clearing Corporation Limited shows that as of August 7 this year, the total margin financing and securities lending balance of A shares was 2.013122 trillion yuan. Among them, the margin financing balance was 1.998908 trillion yuan, and the securities lending balance was 14.215 billion yuan. The significant growth in margin financing funds and the low level of securities lending funds in the margin balance show optimism about the optimization and upgrading of the industrial structure, as well as confidence in the economy. Industry insiders remind that margin financing and securities lending, while expanding investment returns, will also amplify investment losses. They require a high level of professionalism from investors and must use leverage rationally to participate in the market.