Continuous injections of increased liquidity into the market are expected to further establish a new equilibrium in the A-share market.

Last week, the A-share market heat further increased, with the ChiNext Index rising by 8.58% in a single week; the Shanghai Composite Index rose by 1.7%, breaking through 3700 points during trading hours, reaching a new high in nearly four years. Since April this year, A-shares have started a trend market lasting for four months. Institutions believe that with the continuous accumulation of market making money effect, it is difficult for A-share sentiment to cool down in the short term. In the future, the potential incremental funds of the resident sector will be abundant; at the same time, with the expectation of interest rate cuts in overseas markets, foreign capital will also increase the demand for allocating Chinese assets, and the trend of increased liquidity in the A-share market will continue, pushing the index to new highs.