Monetary tightening will be more enthusiastic about the stock market of bank funds

 Monetary tightening of bank funds will be more enthusiastic about the stock market
2007-12-11 Shanghai Securities News
in the implementation of tight monetary policy, bank funds will mainly go? Investment market.
Firm financial institutions and the stock market firmly bonded together, the future will be more closely linked. Monetary policy is the enterprise from the pain of tight, most likely the gospel of the capital market.
December 25 the central bank will raise the deposit reserve implementation to 14.5% This policy is seen as the central economic work meeting of the first tone from the tight monetary policy response. raising the deposit reserve rate is only a tight first step, then the market knows that the credit crunch mm learned that the central bank may change the requirements of the previous year Commercial banks reported an annual credit plan the way the central bank requires commercial banks quarter by quarter report to the credit scheme, total credit and credit tighter rhythm more direct control will be the norm for the banks to issue loans exceeded the orientation of the central counting be punished. restrain economic overheating and inflation become a top priority, the central bank to re-retrieve discarded years of total credit control arms.
for banks, it is rational choice. banks can not open crime against the wind, but there is profit and assessment pressure, as well as value-added investor demand, the original deposit and lending interest rate at the beginning of chasing big money hit the bank loans to put brakes bound to rush to find another way of making money in order to maintain bank profits yet. in the administrative of credit control, bank profits between the demands and the assessment system, the existence of mutually contradictory, this is the bank through various means the basic mobility of foreign exchange and distribution of this year as the base currency equivalent, the bank did not reduce the cash position of the hands. especially for the provision of adequate public banks, the cash flow does not increase the deposit reserve ratio rise with tightening. Bank credit crunch could accelerate into the interbank money market, turned into the stock market.
result, the bank's priority is to find in the new environment as soon as possible to survive, under the policy on the so-called countermeasures, all kinds of methods abound. There has gradually taken shape, in order to bypass the line of credit loans in the name of reality, setting up a loan fund trust scheme; Bank for a project company's shareholders directly, bypassing the credit of the name carefully,UGG bailey button, large banks and large enterprises, urban commercial Banks are competitive with local SMEs holding each other this is not rare, and now it is the same as before the Japanese bubble, everywhere.
more bank capital would like to eat went to the stock market generally stimulants. regulators Although there has been prohibit funds from the stock market to prevent the chain of financial risks. but this has not been able to cure serious diseases,Bailey UGG boots, but also a slightly better convergence.'s own stock market has, unless the stock market malaise to unattractive market for bank funds not stopped.
reason is the lucrative market. has been hunting more and more bank funds in the stock market,bailey UGG boots, from the beginning of the credit bull market stocks to the market now looking for a risk-free returns. every large-cap stocks period of playing the new shares, two trillion three trillion frequently freeze the funds, in the short term capital suddenly tight, sharp move funds to carry such a large scale, can be considered strange in the history of ancient and modern capital, especially in the absence of margin trading, capital almost zero leverage, under the premise that the conscious action of the market is almost cost-benefit theory sounded the clarion call, but also the serious issue of new shares unfair mechanism of the image shows.
bank designed to fight an endless stream of financial shares products, savers and investors to sell, but the bank is the main role of the role of money lenders, trust, insurance, securities companies hit new shares of these non-bank financial institutions have become the main force of the main borrower. through short-term placements , the bank can get 5% in two weeks a 7% return, well above the one-year lending rate. Not surprisingly, inter-bank lending rates and market shares charts amazing freeze purchase agreement.
It , Oct. 26, Nov. 21, which were 3 days China Shenhua, PetroChina, China Railway Group A shares online purchase date. three new shares amount of money frozen in a ratio of more than one, respectively, a record 2.67 trillion yuan, 3.37 trillion and 3.383 trillion yuan. This shows that there are countless resources to participate in a unified action to catch the sea of new shares, of which a large data collection is the Bank of Italy. so quick, why not? so Although regulators have not explicitly illegal credit funds into the market, not willing to do such a lucrative business. unless the shares are no longer playing risk-free return of Feng Shui,UGG boots, loss of income, the bank naturally interested in dull. follow the market are calling to change the IPO mechanism, making it more fair, is removed to financial institutions Xiehuo shares hit the root of the problem.
for regulators, the regulation of the use of funds for lending case by case basis extremely difficult, even more vague, the playing of new shares is equal to the regulators call not conclusive, in the interests of this enclosed chain, brokers, insurance companies and other institutions and banks is clearly in the same trench comrades, flexible approach can be described as endless.
from the credit to the stock market, the absolute excess monetary liquidity , the market there are always ways to find a way out for the Currency, which may not what we would like to see is also not the policy intention, but it can in the most convenient way to get the most profit. When the administration of the means to experience strong the flexibility of the main resistance to the market, most of the time will be Huagumianzhang inadvertently resolve, which is an important reason for the difficulty of regulation and market nature of a reverse mm.