(Original title: Trade frictions are making waves again, but these sectors have bucked the trend and strengthened. Institutions predict that the performance of related stocks is expected to rise sharply this year and next year)

It seems that something big has to happen before it can be called a "weekend." On August 24, the United States announced that it would increase tariffs on approximately $550 billion of Chinese goods exported to the United States. Affected by this news, Shanghai Index opened nearly 50 points lower than the closing point of the previous trading day, closing down 0.95% at noon.

The opening market value of A shares evaporated by more than 900 billion

Securities Times·Databao statistics show that the market value of the two cities A shares opened with a market value of 52.23 trillion yuan, and the evaporation of the market value from the previous day's closing market value was as high as 915.209 billion yuan.

Specific to Individual stocks, judging from the range of changes, the opening market value of 58 stocks dropped by more than 5% from the previous trading day. Stocks with higher early gains such as Haineng Industrial, Tongda Ventures, Bomin Electronics, and Weike Technology are all included in this list. Judging from the absolute value of changes in market value, the market value of seven large-cap blue-chip stocks, led by Kweichow Moutai, Ping An, Industrial and Commercial Bank of China, and Hikvision, instantly evaporated by more than 10 billion.

As of 11:30, the Shanghai Stock Index's decline narrowed, and the number of oversold stocks dropped significantly from the opening. Databao statistics show that nearly half of the stocks in the two cities underperformed the Shanghai Index, and there were 30 stocks that fell by more than 5%. Among them, stocks in the computer, mechanical equipment and electronics industries account for the majority, with the total number of stocks in the three industries accounting for 50%.

The three worst-performing stocks, Yangyuan Beverage, Shanghai Mechanical and Electrical, and Haineng Industrial, all fell by more than 9%; in addition, 10 stocks including Sifang Jingchuang, Leading Intelligent, and Chint Electric fell by more than 6%.

Rare earth permanent magnets, agricultural seed industry and other sectors bucked the trend and strengthened

With the market opening sharply lower, there are still a few concept sectors that are performing strongly. Statistics show that sectors that benefited from trade friction, such as corn, agricultural seed industry, and gold concepts, performed better at today's opening. Among them, the corn concept index topped the list of gains, and stocks such as Wanxiang Denong, Dunhuang Seed Industry, and Fengle Seed Industry bucked the trend and rose by more than 3%. The rare earth permanent magnet sector collectively strengthened at the opening, with Dehong Co., Ltd., Jinli Permanent Magnet closing their daily limits, and Galaxy Magnet rising 7%. As of midday, the pharmaceutical sector has also started a collective outbreak, with pharmaceutical business, ophthalmology, and generic drugs all achieving large gains.

Of course, there must be performance support behind the strength against the trend. Taking the 32 stocks that benefited from the seed production and rare earth permanent magnet sectors as an example, the market value of these 32 stocks at today's opening increased by nearly 9 billion yuan compared with the previous trading day. In terms of performance, 23 of the 26 stocks that disclosed forecasts (median value), express reports and mid-term reports achieved profits in the first half of this year. The net profit of Lingyi Intelligent Manufacturing in the rare earth permanent magnet sector topped the list, reaching 1.114 billion yuan, a year-on-year increase of nearly 3 times; followed by Hengdian East Magnetics, Dayang Motor, and Northern Rare Earth, the net profits in the first half of the year all exceeded 200 million yuan. Judging from the year-on-year growth rate, Fengle Seed Industry's net profit in the mid-term this year increased by more than 12 times year-on-year. Five stocks including Antai Technology, Guangsheng Nonferrous Metals, and Yingluohua are all expected to increase by more than 1.5 times year-on-year.

Judging from the future performance forecasts of institutions (more than 3 forecasting institutions), the net profit growth of 8 stocks this year and next is expected to exceed 10%. Including Lingyi Intelligent Manufacturing, Zhenghai Magnetic Materials, Denghai Seed Industry, Keheng Shares, etc., the net profit growth of these four companies is expected to exceed 1.5 times this year, and will also exceed 15% next year.

Based on the closing price as of August 23, the stock prices of the above eight stocks have all increased during the year, among which the rare earth permanent magnet sector Keheng Shares and Shenghe Resources underperformed the Shanghai Index. Among them, Keheng Co., Ltd. is mainly engaged in lithium-ion battery cathode materials, rare earth luminescent materials, etc. In 2017, the revenue of rare earth luminescent materials was 93 million yuan. Shenghe Resources owns a 30% stake in Chinalco Sichuan Rare Earth and is a leading enterprise in the rare earth refining and separation industry in Sichuan Province.

Analysts said that selling high on Friday may reduce risks

Although there is no shortage of stocks that buck the trend in a weak market, after all, the total number of stocks in the A-share market has reached more than 3,600. Judging from the stocks that rose against the trend today, the number accounts for less than 30%. It can be seen that not everyone can grasp such an opportunity.

So how can we reduce the risk? Generally speaking, due to the time difference, major news often occurs in the evening or on weekends. The probability of falling on the first trading day of each week is high, especially in the 22 trading weeks since April this year. The average Monday decline was 0.22%. The number of Monday falls was as high as 14 times, accounting for more than 60%. Especially on May 6, the Shanghai Stock Index fell as much as 5.58%.

Some analysts said that if you sell at a high on Friday, the risk will be greatly reduced. In addition, Li Chao, vice chairman of the China Securities Regulatory Commission, once said that the resilience of my country's capital market is increasing and its ability to withstand external shocks is improving:

First, my country's economic growth rate is still at the leading level in the world, and its development potential is very large.

Second, the market valuation level is low. The Shanghai Composite Index’s price-to-earnings ratio is only 13 times, while the price-to-earnings ratios of the three major U.S. stock indexes are all over 20 times. Third, the leverage level of the stock market has dropped significantly, and its own risks have been significantly mitigated. Currently, leverage funds in the stock market are approximately 1.2 trillion yuan, down nearly 80% from the historical high. Fourth, market sentiment is relatively stable and there is no obvious panic.