Tuesday’s market opened slightly low and adjusted above the 10-day line to a small extent. Turnover shrank obviously; market tended to be active one hour before its close. Both price and index surged as driven by individual shares of steel & iron, real estate and auto industry. Finally, the market closed above the 5-day line at the daily summit.
Domestic investment in April maintained rapid growth, which indicates that proactive fiscal policy and quantitative easing monetary policy are gradually coming into effect. Export decline in April is comparatively more serious than that of the previous month, showing that global economy is not yet completely steady. Domestic export decline will be main element for economic growth slowdown in 2009. Currency fluidity is sufficient in current market, and shares are likely to be pushed up by blue-chips with low valuation represented by financial stocks; the big-cap is forecasted to maintain the outburst in the aftermarket.