October 6000 will impact the broader market or mark.

<P>: Http:// hearing, closed the period at the A shares, international stocks have soared, investors for the negative effects of the subprime mortgage concerns have been gradually eliminated. .For the A-share market, since September has been a relatively good adjustment, we anticipate continuation of the bull market in October the pace of the broader market is expected to continue up the expansion of space, the impact of 6000 mark the possibility of very large integers. .</ P> <P> we are optimistic about the October market, simple reason, that is the basis for promoting the increase in the stock market is still relatively strong. .</ P> <P> First, the performance of listed companies to continue its rapid growth is expected to remain unchanged. .Although interest rates have been introduced, raising the deposit reserve ratio and other control measures, but for businesses, interest rates and other control measures to increase the cost of capital for businesses the negative impact is limited, particularly for the fourth quarter or full year 2007 .performance is concerned, does not have a substantial negative impact. .Growth performance of listed companies because the basic power still exists, so the bull market fundamentals remain solid. .</ P> <P> Second, although the market valuation is still high, but the dynamic is still relatively reasonable. .If you look from the static level, whether domestic or international horizontal comparison of the longitudinal comparison, A shares have been significantly above the high ground in the valuation. .However, from the growth point of view, if the 2008 performance of listed companies to maintain more than 30% growth, can support more than 30 times earnings level. .Therefore, the current institutional investors have turned from the PE index observed targets were observed on the PEG. .</ P> <P> Third, excess liquidity situation has not been fundamentally changed, the property market, capital market regulation and control measures is expected to increase the supply. .With the domestic consumer prices continued to rise, residential investment continued to strengthen awareness of the stock or fund in the proportion of household financial assets continued to improve, the stock market on saving money with a strong appeal. .In particular, the recent introduction of the series for the real estate market, regulatory measures, short-term funds into the stock market is expected to split the property market. .The history of the stock market and property market has repeatedly have a "seesaw" effect, the current high prices, such as interest rate and down payment increases the proportion of loans and other control measures will increase the cost of investment in the property market. .Channels in the domestic investment is still relatively limited, under the premise of funds expected to be part of the property market, he moved to the stock market, and thus continue to promote the A stocks. .</ P> <P> While we are optimistic about recent market trends, but several important factors affecting the stock market is worth close attention, we call the four important observation window. .The first is whether the decline in corporate earnings growth. .Since 2006 the third and fourth quarter, a higher base of corporate earnings growth, this year is to maintain high growth year on year growth rate can cause for concern. .Hong Kong stocks that followed the opening of policy. .We are still close attention to the progress of the policies and accounts, and other indicators, if the enthusiasm of domestic investors to invest in Hong Kong stocks, diversion of funds clear, we will of excess liquidity in case of re-evaluation. .The third is the expected launch of stock index futures. .Assuming the stock index futures in November after the launch, when the index above 6,000 points if the high in the market is likely to form a short-term impact. .Fourth, the state-owned shares. .October will mark the size of the non-reduction peak. .</ P> <P> Thus, as Hong Kong stocks, like the recent trend of sharp shocks, the domestic A share in the fourth quarter may have greater volatility, particularly in the stock index at record high, investors increase the time differences, .shock intensity is still worth close attention. .</ P>.